Intel Corp. may scrap plans to build an assembly and testing plant in India if the federal government doesn't announce its semiconductor policy by March 2007, the Economic Times reported, citing unnamed company officials.
The semiconductor policy is supposed to detail the incentives and facilities the Indian government will give to large chip makers planning to build production plants in India.
"Assembly and testing centers involve substantial investments, depending on the capacity and location. That needs to be backed by adequate infrastructure in the region," Ramamurthy Sivakumar, managing director (South Asia) for Intel, said, according to the report.
Ramamurthy did not comment in the report on whether Intel is planning to abandon its plans for the assembly and testing plant.