IBM puts off Manila project

IBM puts off Manila project

MANILA (AP): IBM has temporarily dropped plans to build a $1 billion silicon wafer plant in the Philippines.

Lawrence Qua, president of Philippine electronics concern Ionics Circuits Inc., said Thursday a glut of computer wafers worldwide has forced the joint venture project to be put on hold.

"We'll have to wait until the market is right for us to build a wafer plant here and (see) if government is ready to live up to its commitment on the project," he said.

Ionics and IBM were expecting to get Philippine government incentives to make the project viable. But the government, running a budget deficit, isn't keen on giving tax incentives.