Intellect Inc to set up fab unit in Hyderabad

Seoul-based Intellect Inc is considering a proposal to set up a fabrication
unit in Hyderabad. The Korean delegation visited Hyderabad in September and
discussed elaborately on the prospects of the 'Mega Fab Project' in Andhra
Pradesh.

Disclosing the details, IT secretary JC Mohanty said, "They met up with
the Chief Minister and are considering the proposal. We expect a confirmatory
note by December 2004." The government is willing to provide 50 acres of
land for the proposed fab unit.

The project would be undertaken in two phases. Fab I will be set up costing
around $600 million to $700 million. Fab II will incur an investment of $2
billion. Once finalized, Hyderabad can witness Fab I by 2006-end.

Mohanty further added that the president of Intellect Inc has sent a mail
stating that they are quite happy with the support extended by Andhra Pradesh
government and Hyderabad was their original choice.

While this is the brighter side of the proposal, highly placed industrial
sources said that the Korean delegation had put forth some demands like
extending support from the MIT institute besides others. The government is still
to decide on the project. Given the acceptance of these demands, Hyderabad will
soon witness the emergence of the country's first ever fabrication unit that
will trigger the growth of the economy in a large way, generate ample employment
opportunities and thus make a beginning of the hardware manufacturing industry.

SUNITHA NATTI

(CyberMedia News)