14 DAY TRIAL // Intel Chief Executive Officer Paul Otellini announced on Tuesday that the global leading chip maker would make a $7 billion investment in U.S.-based manufacturing facilities, as it would focus on the development of the company's next-generation 32nm process technology. The announcement has attracted the attention of President Barack Obama, who has called Intel's CEO congratulating him on the chip maker's decision.
“For nations like the U.S., absolutely nothing about the future is inevitable or guaranteed – not jobs, not leadership, not our standard of living,” said Otellini in a speech before the Economic Club of Washington, D.C. Intel's CEO also said that the current economic crisis is the worst he has seen in 35 years working at Intel.
“Taking that leap can be downright scary but it is the only proven path to pull out of bad times,” he said. “If we want to see a return to American prosperity, we have no choice than to invest in creating the future, not merely preserving the past.”
Intel's announcement to accelerate the development of the 32nm process technology will likely increase the technological gap between the Santa Clara, California-based leading chip maker and its biggest competitor, Advanced Micro Devices, which has just recently announced its first 45nm-based consumer processors. Also, the $7 billion investment plan is rather impressive, especially since it follows a recent announcement, when Intel said that it had plans to cut approximately 6,000 jobs. The new manufacturing plants will employ some 7,000 workers, says Intel's CEO.
According to the Associated Press, Paul Otellini received a brief phone call on Monday from President Barrack Obama, “encouraging” him to publicly support the stimulus plan that includes an $800 billion economic recovery package meant to create jobs and provide unemployment benefits, food stamps, health care and other programs.