Indian talks stuck over Intel cash request, says report

The upfront payment request in on top of tax breaks and other incentives that Intel is looking for to site a chip testing facility in India, the report said.

In the past Indian politicians have been eager to talk about the project (see July 12 story) and have said the facility could be sited either in Noida near New Delhi or Chennai in southern India.

But the government is not ready to make a $100 million contribution to Intel, the world's largest chip maker, the latest report said. A team from Intel was negotiating the terms of a deal with officials last week but no agreement could be reached, the report said referencing unnamed officials as sources.

The report quotes an Intel spokesman declining to comment as to whether Intel had asked the Indian government for an upfront payment, but saying that Intel sought incentives from regions where it made “significant capital investments”.