Intel is to continue to invest in its operation in Ireland, CEO Mr Craig Barrett confirmed today.
But the company is also looking at China and Russia as emerging candidates for investment.
Intel, which employs over 3,000 in Ireland, last month announced plans to cut 4,000 jobs worldwide after a disappointing set of second-quarter results blamed on sluggish sales in Europe.
But the chip giant's Irish operations could escape the cuts, which amount to 5 per cent of the workforce.
Work will continue on the Fab 24 project at its Leixlip, Co Kildare, facility, which is expected to come onstream in the first half of 2004.
Intel announced last April it was restarting work on the fabrication plant after two postponements of the $2 billion (€1.98 billion) project.
It expects the plant, which will use a new type of technology that is more efficient for making computer chips than those available, will help create 1,000 extra jobs.
Speaking in India this morning, Mr Barrett confirmed that the company had no plans to scale back its investment in the State. "If you look at Ireland we will continue to invest," he told reporters.
But he said: "There are two other equal candidates for investment, China and Russia. Russia will primarily be looked at from an engineering standpoint, while China from both engineering and manufacturing".
