Multinational technology giant Intel is poised to invest some $4.5 billion in its Israeli ventures this year.
Intel Israel currently employs 11,000 people. According to the company's website, Intel has bought goods and services from local Israeli suppliers to the tune of $10 billion over the past decade, with exports amounting to $50 billion. The company's exports for 2017 totaled $3.6 billion.
"Intel has decided to invest billions of dollars in Israel in 2018," Finance Minister Moshe Kahlon told the Knesset Finance Committee this week, adding that he had received confirmation about the impending investment from Intel officials.
According to a report in the financial daily Globes on Monday, Kahlon revealed the planned investment after receiving a positive response from Intel to an incentive package offered to the chipmaker in exchange for the investment.
Intel stands to receive 20% to 30% of its planned $4.5 billion investment back in Israeli government grants.
The deal is reportedly awaiting the approval of a joint committee of officials from the Finance Ministry, Economy and Industry Ministry, and Israel Tax Authority.
Intel's facility in the southern town of Kiryat Gat is considered one of the world's most advanced chip fabrication plants. The company invested $6 billion in expanding and upgrading it during 2016 and 2017.
According to Globes, Intel has also been in talks with government officials about an additional investment in the operations of Jerusalem based driver-assistance tools developer Mobileye, which it acquired for $15.3 billion last year.
