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10 May 2010

Chipmaker Intel shuts Malaysian unit in ‘transition’

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World’s largest chipmaker Intel Inc’s move to close down the assembly, test and development unit at its Kulim Hi-Tech Park (KHTP) facility is to optimise the company’s resources, reported the StarBiz, a Malaysian business daily.

“It is Intel’s ‘business as usual transition’ exercise, and will not have any impact on the company’s commitment to Malaysia,” an Intel spokesman told StarBiz.

He said all the affected workers in the unit would be given alternative employment in Intel’s operations in the country, as their talents were still needed.

On Tuesday, Intel’s four senior executives briefed about 500 workers, comprising managers and engineers, about the closure of the unit in a year’s time.

The work done by the unit at the KHTP facility would be transferred back to the United States, close to Intel’s wafer fabrication plant in Arizona. The assembly, test, and development unit in KHTP is responsible for developing, testing, and packaging chipsets.

Last December, Intel Malaysia officially opened its $ 230 million Kulim Microprocessor and Chipset Operations facility at KHTP.


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