Intel Corp. (INTC), the world's largest computer chipmaker, announced Friday that it will more than triple its initial $300 million investment in Vietnam, dramatically expanding the size of a chip assembly and testing plant that it is constructing in the country's southern business hub.

The company plans to spend $1 billion on the plant and expand its size from 150,000 square feet to 500,000 square feet, a company official said Friday.

Construction is expected to be finished in 2007. It will be Vietnam's first semiconductor facility, and Intel's sixth testing facility in Asia.