The Chairman of Intel, Craig Barrett, says the company has no immediate plans to cut jobs or investment in Ireland. Intel currently employs over 5,000 people here.
Mr Barrett told RTE News that Intel can be competitive in a high cost environment like Ireland or the US, as the company is more sensitive to capital costs than labour costs.
He pointed out that labour costs had been an issue for computer manufacturer Dell, which announced 1,900 layoffs in Limerick earlier this month.
He said that Intel had recently announced a programme of job cuts at a number of plants, but that no jobs were cut in Ireland. Earlier this month it said it will close facilities in Malaysia, the Philippines and the US with the loss of up to 6,000 jobs.
But the Intel chief warned that in the current economic conditions, remaining competitive was harder than ever.
