Intel plans $1bn India spend

Intel Corporation today announced a multi-year investment plan of over $ 1billion, including $ 800 million over the next five years, for business expansion in India.

"The investment roadmap includes a huge chunk ($ 800 million) for expanding the company's business operations in India," Craig Barrett, chairman of Intel, said.

The investment would focus on expanding the research and development centre in Bangalore in addition to marketing, education and community programmes. The investment roadmap also has a provision for setting up a $250 million venture capital fund in India.

"We will grow our local operations, boost venture capital investment and work closely with the government, industry and educators to increase the impact of the country's information and communication technology," Barrett added.

Barrett remained non-committal on plans for a chip manufacturing plant in India saying it was involved in "pragmatic" discussions with the government.

"We are still in discussions with the government on the possibility to set up a manufacturing plant in India. We are not ready to announce anything at this point of time," Barrett added.