GEORGE TOWN – InvestPenang, the investment promotion agency for the state, is in communication with Intel in Penang following news that the United States (US) chip maker is partially pausing its new chip packaging and testing project in Penang.
Penang Chief Minister Chow Kon Yeow said the company will issue a statement at the right time because it is evaluating the current situation.
“We cannot speak on their behalf. They will issue a statement when they have made a decision.
“We don’t know what the announcement will be, so we’ll have to wait. I believe that as an established company, it has procedures and processes to manage such issues,” he told reporters after attending the Advanced Technology Equipment Cluster (Atec) launching ceremony here today.
Last Wednesday, local media reported that Intel had partially paused its Penang expansion, which is part of its US$7 billion (RM30.3 billion) investment in Malaysia, first announced in 2021, and the move was made amid cash flow issues that led Intel to suspend dividend payments and initiate job cuts across its operations globally.
Intel reported a revenue of US$12.8 billion in the second quarter of financial year 2024, down one per cent from a year ago and a US$1.6 billion net loss. – September 7, 2024