Itzkovich did not share details about how much a grant or subsidy Intel is fishing for, but noted that contrary to Intel's previous investment, the government is now trying to forge a long-term deall in which each side will commit for at least ten years. Intel invested $10.5 billion in Israel in the past decade, and has receives $1.3 billion in government grants.
Intel's last overseas investment was made in Ireland and if it does not build a factory in Israel this time the country could find itself no longer relevant to Intel, Itzkovich said.
"We are talking about a manufacturing facility that has incredible impact on the Israeli economy," he said. "That said, it is incumbent upon us to examine the worthwhileness and to explain to the public what the benefits are and what the considerations are if we approve the investment."
Intel will build chips over the next two to three years with features measuring just 14 nm in Ireland and the United States but the company is already thinking about where it will produce 10 nm chips. Intel Israel executives said in February they would like to see 10 nm production in Israel.