The
European
Commission has given the green light to Germany's plan to pay €262m towards
the refurbishment of
AMD's
microprocessor plant in Dresden.
The Commission ruled that the payment will not break rules designed to stop a
company gaining an unfair advantage over its rivals.
"This is an important investment project in a high-tech sector which will
contribute to regional development and job creation in a disadvantaged region of
Germany," said
Neelie
Kroes, European Commissioner for Competition.
The €262m payment by the German government will go towards the estimated
€2.2bn total cost of upgrading and extending the plant, which already employs
several thousand people in the region.
AMD's facility currently turns silicon wafers into computer components and
will add the ability to create 300mm wafers and a new clean room.
The Commission turned down a request from
Intel in 2005
to receive €170m payment from the Irish government, as the company had
previously received €220m aid for its Dublin plant.
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