Berlin, Intel Strike Controversial Chip Plant Subsidy Deal

Berlin agreed Monday to grant US chip giant Intel subsidies totalling almost a third of the cost of a 30-billion-euro ($32.7-billion) German plant in a controversial decision following a months-long row.

Government sources told AFP that Berlin would provide 9.9 billion euros to support the project in the eastern city of Magdeburg, up from a figure of 6.8 billion originally agreed.

Intel unveiled the mammoth project, the centrepiece of a European investment drive, in March last year.

The EU is seeking to boost production of semiconductors, used in everything from...