This article is a part of Poland Unpacked. Weekly intelligence for decision-makers
Intel officially announces it will not proceed with its planned investment in Poland. The decision was disclosed as part of Intel’s Q2 2025 financial report, published on July 24.
“We are focusing on strengthening our core product portfolio and AI strategy to better serve our customers. We are also taking necessary steps to create a more financially disciplined organization. This takes time, but we see opportunities to enhance our competitive position, improve profitability, and build long-term value for shareholders,” said Intel CEO Lip-Bu Tan.
The tech giant’s chief also indirectly framed the decision in the context of the Poland project.
“The changes we are implementing to reduce operating costs, improve capital efficiency, and monetize non-core assets are yielding positive results and strengthening both our balance sheet and our starting position for the future,” Lip-Bu Tan added.
This marks the end of months of speculation about the fate of the semiconductor assembly and testing plant in Miękinia near Wrocław. The nearly PLN 20 billion investment, which was set to become Poland’s largest-ever greenfield project, has been removed from the tech giant’s plans. Yet while the news may be disappointing, it does not necessarily spell defeat for Poland or Lower Silesia – on the contrary, it may open new opportunities.
Expert's perspective
A difficult decision, but one that frees up the best ground for such investments in Europe
Intel, which – according to my understanding – based its revenues on two pillars: consumer devices and data centers, has now lost a substantial part of the latter segment. As a result, it is cutting investments and trimming costs – not only in Poland, but also in Germany and the United States. This does not, however, mean a defeat for Poland.
On the contrary, we now have the best-prepared sites in Europe for advanced semiconductor manufacturing investments. Infrastructure has been developed, utility requirements defined, an institutional environment established, and educational offerings prepared – from university courses to mechatronics labs for vocational schools. The experience gained by Polish companies and institutions represents a huge asset.
We must not allow the narrative that someone “killed” this investment to take hold. What is needed is a joint effort – beyond political divides – to attract new investors. We have ready-to-go sites, a functioning ecosystem, and one of the highest investment-attractiveness scores in Europe for back-end semiconductor operations (testing and integration).
All that remains is to craft a new narrative and intensify business engagement – much as Czechia is doing today. This requires strategy, determination, and effective communication.
Intel has left behind not only fully prepared sites, but also built competencies and an institutional framework. This is a starting point for the next major investment – potentially TSMC, Samsung, Micron, or companies fulfilling back-end contracts. Poland has a real opportunity to build a strong semiconductor sector – let’s not waste this potential.
Investment halted, but the ground is ready
Plans to build the factory were announced in 2023. The plant was to occupy nearly 300 hectares, employ more than 2,000 people, and support the European semiconductor production chain. The project aligned with the EU strategy set out in the European Chips Act.
Poland met all the requirements – from access to talent and infrastructure to institutional support. Formalities were completed: an environmental decision was issued, the project achieved final approval, and local authorities prepared the site for investment.
However, in September 2024, the company announced that it was putting its plans in Poland and Germany on hold for at least two years. The reasons cited were changing market conditions, the need to optimize capital, and lower-than-expected revenue from the foundry sector (metal casting plants).
Now, as part of its optimization and cost-saving measures, Intel is definitively abandoning plans to build plants in Poland and Germany. It is consolidating assembly operations in Malaysia and Vietnam and slowing construction of its Ohio factory. The company explains the decision as a need to improve capital efficiency and reduce costs – it plans to limit its 2025 capital expenditures to USD 18 billion and continue cutting operating expenses.
Failure or opportunity?
While Intel’s decision is undoubtedly disappointing, it does not have to mark the end of Poland’s ambitions in the semiconductor sector. On the contrary, the situation opens space for other players, and Poland now has ready-to-go sites with a complete legal and regulatory framework and broad support from public institutions. Signals are emerging in the market that investors from Asia and the United States are increasingly viewing Central and Eastern Europe as an attractive alternative to overpriced and costly Western locations.
A key reference is the report published in June 2024 by consulting firm Kearney, Back-End Semiconductor Manufacturing Attractiveness Index, which shows that Poland ranks among the most attractive European locations for back-end semiconductor investments – testing and assembly of integrated circuits.
The report considers factors such as labor availability, costs, regulatory stability, and logistical capabilities. Poland ranks highly – particularly for the balance between costs and access to skilled workers. An additional advantage is its central location in Europe and the potential to integrate with the high-tech ecosystems of Germany and Czechia.
Interactive chart Ready ground, ready ecosystem
Contrary to appearances, Intel’s decision does not eliminate the potential of Miękinia – on the contrary, it leaves a fully prepared site for the next investment. This is a huge advantage in a world where construction start times and obtaining administrative approvals are often the biggest barriers. Poland has already cleared this hurdle, and interest in the semiconductor sector continues to grow – from integrated circuit manufacturers to companies specializing in packaging, testing, or component design.
Equally significant is the fact that Intel’s project was supported by a strong institutional framework. Since 2021, the Polish Investment and Trade Agency, the Industrial Development Agency, the Legnica Special Economic Zone, and local authorities have been working on this project. This experience and the ready-made support structure can be leveraged in discussions with future investors.
Europe still needs chips
Intel’s decision does not change a fundamental fact: Europe urgently needs to strengthen its semiconductor independence. The pandemic, geopolitical crises, and disruptions in global supply chains have highlighted how dependent the automotive, energy, and defense industries are on access to integrated circuits. For this reason, the European Commission’s strategy continues to prioritize strong support for local investments in the sector – not only in manufacturing but also in R&D, as well as testing and integration.
In this context, Poland remains one of the best-prepared countries in the region to play a key role in the new value chain. The ready-to-go site in Miękinia could be precisely the element that convinces the next investor.
Key Takeaways
- Intel has officially abandoned its planned PLN 20 billion investment in Poland, as announced during the company’s Q2 2025 results briefing.
- Intel’s decision is driven by a focus on strengthening its core product portfolio and AI strategy, as well as the need for a more financially disciplined organization and optimization of operating costs.
- The cancellation of the Miękinia project near Wrocław, which was set to become Poland’s largest-ever greenfield investment, while disappointing, could open new opportunities for Poland in the semiconductor sector.