Updated

Intel Corp. confirmed today it’s planning to invest $600 million to expand its research and development facilities in Israel, in addition to the $10 billion it has already committed toward building a new chip manufacturing plant in the country.

The announcement came from Intel Chief Executive Pat Gelsinger during a one-day visit to the country as part of a European tour that also included trips to Belgium and Germany.

Update: And on Monday, Intel also announced it will spend $3.5 billion to upgrade chipmaking plants in Rio Rancho, New Mexico. The company on Sunday had confirmed the plan that was first reported during a 60 Minutes interview with Gelsinger.

Gelsinger revealed Intel will invest $400 million to create a new R&D campus at its Mobileye unit in Jerusalem, which develops chips and other technologies for self-driving cars. Intel acquired Mobileye NV back in 2017 for $15.3 billion, and the company said today the unit is a “major growth business” that it deems to be a “key part” of its future.

Intel currently operates three existing R&D centers in Israel, in the cities of Haifa, Petah Tikva and Jerusalem, as well as an advanced chip manufacturing plant in Kiryat Gat. The company has invested some big money in Israeli startups in recent years. Besides Mobileye, it acquired an artificial intelligence chip maker called Habana Labs Ltd. for $2 billion in 2019, and a navigation technology startup called Moovit Inc. one year ago for $1 billion.

The company said it also wants to build another R&D center called IDC12 next to its existing development center in Haifa. The plan is for the $200 million campus to develop “chips of the future,” Intel said, and will see the company hire 1,000 new employees locally this year. Eventually, the new “mega chip design” facility will be staffed by upwards of 6,000 employees, Intel said.

Finally, Intel said it has already began work on the first stage of its previously announced plans to expand its chip factory in Kiryat Gat. The company, which manufactures chips using a 10 nanometer process at the plant, first said it plans to expand the factory in 2019, promising an investment of $10 billion. The Israeli government has also promised grants totaling $1 billion towards the expansion.

Intel hasn’t said if the expanded plant will have the capacity to produce chips using the smaller seven-nanometer chipmaking process, which are more powerful and energy-efficient. But last month it announced plans to build two new 7nm plants in Arizona at a cost of around $20 billion.

During the tour, Gelsinger, who met briefly with Israeli Prime Minister Benjamin Netanyahu, told media that he sees a “vibrant future for Intel and Israel for decades to come.”

Photo: Intel/Twitter