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Intel and Intel in Ireland Vedvyas Shanbhogue. Intel Snapshot Year founded: 1968 Year founded: 1968 Number of employees: Approximately 94,000 Number of.

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Presentation on theme: "Intel and Intel in Ireland Vedvyas Shanbhogue. Intel Snapshot Year founded: 1968 Year founded: 1968 Number of employees: Approximately 94,000 Number of."— Presentation transcript:

1 Intel and Intel in Ireland Vedvyas Shanbhogue

2 Intel Snapshot Year founded: 1968 Year founded: 1968 Number of employees: Approximately 94,000 Number of employees: Approximately 94,000 Revenues: $35.4 Billion (2006) Revenues: $35.4 Billion (2006) Products and services: over 450 Products and services: over 450 Stock symbol: INTC Stock symbol: INTC Worldwide offices and facilities: 294 Worldwide offices and facilities: 294 Intel is the world's leading innovator in advanced silicon technology, with more than 35 years of leadership in computing and communications.

3 A Company with a Global Reach Intel has operated internationally since 1969, when offices were opened in Geneva and Brussels. Intel has operated internationally since 1969, when offices were opened in Geneva and Brussels. Intel has had major international sites since 1972 when a facility opened in Penang, Malaysia Intel has had major international sites since 1972 when a facility opened in Penang, Malaysia The share of Intel revenues from outside the Americas exceeded 50% for the first time in 1995 The share of Intel revenues from outside the Americas exceeded 50% for the first time in 1995 Revenue ’06; $35 billion. Approximately 80% outside of the Americas (20%Americas; 50% Asia-Pacific; 20% Europe; 10% Japan) Revenue ’06; $35 billion. Approximately 80% outside of the Americas (20%Americas; 50% Asia-Pacific; 20% Europe; 10% Japan) Intel is a global technology leader with 120 business sites in 50 countries Intel is a global technology leader with 120 business sites in 50 countries Intel is making investments in global markets to better serve them and tap a deep pool of talent Intel is making investments in global markets to better serve them and tap a deep pool of talent

4 Major Intel Sites Around the World Ireland Israel Oregon California Colorado Arizona New Mexico Massachusetts Costa Rica Malaysia China Philippines Russia Washington Utah Texas India Japan

5 Intel Ireland - The Largest Industrial Investment in Ireland.  Established in Now represents $7 billion in fixed asset investment  5,000 direct & indirect employees on site.  Over 2,500 with ‘ Third Level ’ education in a Technology discipline  Relatively young workforce reflecting the national demographics – average age 33  Fab 24 began production mid 2004 on the industry ’ s then most advanced 300mm technology at the 90nm node.  Now Fab 24-2 is delivering 65 nanometer technology. Intel Ireland remains at the forefront of the technology.

6 IR1 FAB14 FAB24 $2.0B $1.4B IR5 $750M FAB10 -IT Innovation - Centre Intel Ireland Campus $7 billion investment, 5,000 direct & indirect employees, 3.7 million sq foot of buildings! FAB24-2 $2.0B

7 Why Did Intel Locate in Ireland ? Highly Educated young workforce Highly Educated young workforce Member of EEC  EC  EU Member of EEC  EC  EU Favourable Tax Regime Favourable Tax Regime Pro- Enterprise & Stable Government Pro- Enterprise & Stable Government English Speaking English Speaking Reliable Utilities Reliable Utilities Incentives Incentives Labour Law Labour Law

8 Expanding and Changing Mandate Moving up the knowledge curve. All assembly operations closed- low margin All assembly operations closed- low margin Continually attract latest Fab technology (core mandate) Continually attract latest Fab technology (core mandate) 3 mandate expansion examples: 3 mandate expansion examples: Silicon R&D. Leveraging major increase in Gov. fundsSilicon R&D. Leveraging major increase in Gov. funds for research. SFI. CRANN. for research. SFI. CRANN. IT Innovation CentreIT Innovation Centre ICE (Intel Communications Europe). Chip design.ICE (Intel Communications Europe). Chip design.

9 Intel established its headquarters for Information Intel established its headquarters for Information Technology (IT) Innovation at the Leixlip Technology (IT) Innovation at the Leixlip site in June Total investment by Intel of over €12 million. site in June Total investment by Intel of over €12 million. This investment leverages the knowledge power and government research funding available to the Ireland site. This investment leverages the knowledge power and government research funding available to the Ireland site. The IT Innovation Centre is at the forefront of demonstrating how Information Technology and Intel products continue to deliver competitive advantage through the development of compelling new IT value propositions. The IT Innovation Centre is at the forefront of demonstrating how Information Technology and Intel products continue to deliver competitive advantage through the development of compelling new IT value propositions. 40 experienced IT R&D engineers work at the Centre 40 experienced IT R&D engineers work at the Centre Subsidiary IT Innovation Centres have been established globally. Subsidiary IT Innovation Centres have been established globally.

10 Intel Communications Europe - Shannon Shannon Development CentreShannon Development Centre European Business Development and R&D Centre for Basis CommunicationsEuropean Business Development and R&D Centre for Basis Communications Set up at Shannon in 1999 acquired by Intel in May 2000Set up at Shannon in 1999 acquired by Intel in May 2000 Shannon Business Centre established in January 2001 providing Business Development and Technical support to the customers and sales teams in EMEA European Competence Centre established to co- ordinate customer projects and related design support 120 engineers and software developers.

11 Future Challenges for Ireland No longer a low cost geography. Strong economic growth over several years. Study of the physical sciences at High School is in is in decline. Information technology & physical infrastructure is lagging. In catch-up mode developing a research & development critical mass but this is moving fast; e.g. €600 Million in SFI funding. Competing in a global world


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