Ireland could lose out on two new Intel plants planned for Leixlip, Co Kildare, as a result of the Government's failure to secure EU approval for further State aid to the US multinational.
The Government withdrew a multi-million euro grant package on Wednesday after indications that it would not be approved by the European Commission.
Although neither Intel nor the Government has announced the additional plants, the company filed a planning application last month. Intel, however, is reviewing the plants which could cost €3 billion.
The new plants are of a similar scale to Intel's current €1.6 billion Fab 24-2 project. Both plants would be about 5,600sq m in size and would manufacture microprocessors - the chips that run computers and other devices. They could provide employment for up to 800 people.
The planning application also seeks permission for Intel to combine both these smaller plants into one larger facility exceeding 12,000sq m, if this proves more suitable for the company.
An Intel spokeswoman said no decision had been made to proceed with the projects. But she said all new projects would be reviewed in light of the recent negative decision on grant aid.
The commission has signalled opposition to further grants for Intel as they would cement its dominant position in Europe.