http://www.btimes.com.my/Current_News/BTIMES/Thursday/Nation/chintell.xml/Article/index_html
Intel Cyberjaya set to cease ops by mid-year
| By Marina Emmanuel | Published: 2008/02/14 |
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THE world's biggest chipmaker, Intel Corp, is set to cease operations at its Cyberjaya office by the middle of the year.
Business Times has learnt that two batches of staff are set to leave the company by March and June respectively this year, and the office will close by July.
The Cyberjaya office, which was opened in 2001 within the Multimedia Super Corridor, houses Intel's software development operations and was believed to have close to 200 people on its payroll.
Sources say the bulk of the Cyberjaya employees had already left late last year.
"The company is expected to hand over the rented premises of Intel MSC Sdn Bhd at Jalan Usahawan by July to the landlord," an industrialist said.
Last year, the company, which had taken up rental space at Hotel Equatorial Penang, also pulled out from the premises after operating from the site at Bukit Jambul for over a year.
Intel Malaysia corporate affairs manager Loo Cheng Cheng when asked to comment on the Cyberjaya closure said: "Intel, like any other large company, continuously optimises its resources globally in line with our business needs.
"We do not discuss the specifics of any action we may take by country or business unit. Our commitment to Malaysia remains strong and Malaysia remains to be very important to Intel," Loo said.
When asked on the progress being made in expanding Intel's test and assembly facilities in Kulim, Kedah, Loo said Intel's facility in Kulim is on track to start its assembly and test operations in the second half of 2008.
Intel Kulim was established in 1995 as a manufacturer of motherboards. Today the site is engaged in the assembly of processor packaging as well as being a key operations centre for mobile modules.
The site employs over 4,000 employees at present.
Loo did not indicate how many new people would be hired once the Kulim facility is ready except to say that "there will be movement of skilled resources to help with the start-up as well as hiring of new employees".
It is learnt that once the new facility is up-and-running, Intel is likely to deploy some of its Penang employees to Kedah and may also relocate its chipset manufacturing activities from the island to the Kulim High Tech Park where Intel's facilities are located.
Industry sources say this movement is likely to see a marked reduction of Intel's workforce in Penang this year.
The Penang site currently has over 5,000 employees.
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