Intel Corporation and the Biden-Harris administration have finalized a $7.86 billion funding award under the U.S. Chips Act to support Intel’s $100 billion investment plans to expand American semiconductor manufacturing and technology leadership. This direct funding is in addition to the $3 billion contract awarded to Intel for the secure enclave program designed to expand trusted manufacturing of leading-edge semiconductors for the U.S. government.
The award will support Intel’s plans to invest more than $100 billion in the U.S., including projects that will support more than 10,000 company jobs, nearly 20,000 construction jobs, and more than 50,000 indirect jobs with suppliers and supporting industries.
Intel has announced plans to invest more than $100 billion in the U.S. to expand chipmaking and advanced packaging capacity and capabilities critical to economic and national security. These investments will support tens of thousands of jobs, strengthen U.S. supply chains, foster U.S.-based R&D, and help ensure American leadership in cutting-edge semiconductor manufacturing and technology capabilities.
Intel is nearing completion of a historic pace of semiconductor node development to regain process technology leadership. Intel 18A, the company’s fifth process node in four years, is on track to launch in 2025. The company is also finalizing a multiyear, multibillion-dollar commitment by Amazon Web Services to expand its existing partnership to include a new custom Intel Xeon 6 chip on Intel 3 and a new AI fabric chip on Intel 18A.
As part of Intel’s overall chips award, $65 million is set aside to support the company’s efforts to create a more skilled semiconductor workforce. Intel plans to use $56 million to help train students and faculty at all education levels to support industry growth. Additionally, $5 million will be used to help increase childcare availability near Intel’s facilities, and $4 million will support Intel’s participation in the Chips Women in Construction framework to help expand the construction workforce by increasing the participation of women and economically disadvantaged individuals.
The U.S. Department of Commerce has awarded Intel up to $7.86 billion in direct funding through the U.S. Chips and Science Act to advance Intel’s commercial semiconductor manufacturing and advanced packaging projects in Arizona, New Mexico, Ohio, and Oregon. This funding is expected to support Intel’s previously announced plans to advance critical semiconductor manufacturing and advanced packaging projects at its sites in these states. As a result of these announcements, the company's shares have moved -1.7% on the market, and are now trading at a price of $23.65. If you want to know more, read the company's complete 8-K report here.
