Siemens agrees chip plant

Siemens agrees chip plant

Siemens, the German electronics and engineering giant, yesterday confirmed a 1.5bn German marks (pounds 510m) joint venture with Motorola of the US to build a state-of-the-art computer chip plant in Dresden. The factory will develop the next generation of chip technology, which will cut production costs by 30 per cent. Siemens said research and development costs would total DM1bn, with a further DM450m invested to create around 450 new jobs.