Penang Chief Minister Chow Kon Yeow confirmed that Intel’s ongoing expansion in the state is proceeding as planned. Despite global cost-cutting measures by the United States (US) tech giant, including a 15% reduction in its global workforce, Chow reassured that there have been no indications of job cuts affecting Penang’s Intel employees.
During a press conference following a signing ceremony at The Light City, Chow stated, “We did not visit Intel during my recent trip to the US and the state has not been informed of any plans on the retrenchment.” He added, “They are building their expansion here now so we would expect them to recruit more staff than retrenching.”
Intel’s recent financial reports showed a drop in second-quarter revenue to USD12.8 billion and a net income loss of USD1.6 billion. However, this has not deterred the company’s commitment to its Penang operations.
Chow also provided an update on his recent investment and trade mission to the US, which took place from 4 to 14 August. He mentioned that existing investors in Penang expressed intentions to expand their operations. “A majority of the companies we visited comprised of existing investors who are thinking of expansion plans,” he said. However, he noted that potential new investments might take up to three years to materialise due to the need for thorough planning and financial preparation.
The Penang delegation, led by InvestPenang, engaged in 22 strategic meetings and site visits with various companies, including MKS Instruments, AMD, Agilent, and Western Digital, to strengthen ties and explore future investment opportunities.
