Chip-maker Intel Corp. will invest more than $1 billion in the next five years to expand its operations in India and in local technology companies, Intel Chairman Craig Barrett said Monday.
The investment by the world's largest computer-chip maker will include a $250 million venture-capital fund which Intel has created for investing in Indian companies that can benefit from the rapid growth in the domestic information-technology market in the South Asian nation, Barrett said in a statement.
"This investment demonstrates Intel's long-term commitment and builds on the foundation we have created during our 10 years of operating in India," Barrett said.
"Through the Intel Capital India Technology Fund, Intel will help Indian companies drive technology adoption locally and identify new business opportunities globally," Barrett said in the statement.
Santa Clara, Calif.-based Intel currently has a design center in Bangalore, India's technology hub, where it employs some 3,000 engineers and professionals to develop products at a fraction of U.S. costs. Intel will invest $800 million to expand its research and development center in Bangalore, Barrett said.
Intel has invested more than $700 million in India in the last 10 years. Intel Capital has provided funding to about 40 companies in the country since 1998.
Barrett also said Intel is in talks with the Indian government about building a chip-making facility in the country, Dow Jones Newswires reported.