Intel Corp.'s (INTC) planned $7 billion spending spree and call for other companies to invest in America might raise the pressure on technology firms. But analysts say companies will only make patriotic investments if they make financial sense.

On Tuesday, Santa Clara, Calif.-based Intel said it would spend the money over two years to upgrade manufacturing sites in Oregon, Arizona and New Mexico. The new state-of-the-art production facilities at those sites will employ roughly 7,000 people in high-wage jobs.

In a speech at the Economic Club of Washington, D.C., Chief Executive Paul Ottelini exhorted other companies to make similar investments, arguing the investments would give consumers reasons to buy new goods when the recession ebbs.

"What I'm asking is that other companies join us," Otellini said.

Intel's announcement comes as concern mounts over the health of the slumping U.S. economy. A huge $800 billion stimulus program championed by President Barack Obama has struggled with bipartisan bickering and its contents have changed several times.

The U.S government's proposed $800 billion economic stimulus is expected to provide funds for areas such as broadband technology, health care and education.

Expected beneficiaries of the stimulus include telecommunications carriers such as Verizon Communications Inc. (VZ) and Comcast Corp. (CMCSK, CMCSA), network infrastructure makers like Cisco Systems Inc. (CSCO), Internet companies like Google Inc. (GOOG) and Yahoo Inc. (YHOO), as well as hardware makers including Intel and Hewlett-Packard Co. (HPQ).

Analysts questioned whether other companies would heed Intel's call. They said that spending in the U.S. made sense for Intel, which has 75% of its manufacturing here, but that other companies might not be able to justify such plans. "I wouldn't expect to see a fireworks display of generosity on the part of the corporate sector," said Roger Kay, an analyst at Endpoint Technologies Associates.

Tech titans such as software maker Microsoft Corp. (MSFT), handset maker Motorola Inc. (MOT), as well as chip manufacturers Texas Instruments Inc. (TXN) and Advanced Micro Devices Inc. (AMD) have all moved to cut staff as the U.S. economy has continued to sour over the past few months.

Intel, which last month reported a sharp drop in earnings and sales and announced it would close five older factories, said its $7 billion investment would keep the company - and the U.S. - at the forefront of technology innovation.

"It underscores the important point that the U.S is still the leader," said Phil Bond, Chief Executive of industry trade association Tech America. "We are hopeful it will stimulate similar announcements."

But Bond noted that Intel wouldn't have made its investment if it didn't make business sense for the firm. He added that he wasn't aware of any other tech companies planning to make similar investments in the U.S.

- By Scott Morrison; Dow Jones Newswires; 415-765-6118; scott.morrison@dowjones.com