Intel Corp secures $7.9 billion chips award for US factory expansion

The Biden administration has finalised a deal to give Intel Corp. nearly $7.9 billion in federal grants, the largest direct subsidy from a program to boost domestic semiconductor manufacturing.

The agreement for the struggling chipmaker, smaller than an earlier proposed award, means that Intel can begin receiving funds as it hits negotiated benchmarks on projects in four US states. The company will qualify for at least $1 billion this year, a senior administration official said, based on milestones it has already reached.