Intel officially opens $1b CPU factory in Vietnam

Chipmaker Intel has just opened its largest assembly and test facility in Vietnam. The $1 billion dollar factory takes up the space equivalent to five and a half football fields and is located at an industrial park in Ho Chi Minh City. Production at the facility is said to already be underway, with chipsets for notebooks and mobile devices headed worldwide distribution; Sandy Bridge may be a part of the plans.

The factory will create several thousand skilled jobs and will help Vietnam develop economically. The move will also increase Vietnam's technological impact, as it's mostly associated with being world's second-largest exporter of rice and coffee, with other popular products being seafood and clothing. Vietnam's advantages include lower labor costs compared to China, its proximity to the Chinese market and participation in regional free trade pacts.

Working against it are an underdeveloped logistics industry, relative scarcity of English speakers and low science and technology standards compared to regional alternatives such as Malaysia, Thailand and China.

The factory is one of seven of its kind that Intel owns around the world and is expected to lead other IT companies to open up production facilities in Vietnam. Intel already has multiple US plants for both production and research.

By Electronista Staff