The Biden administration has proposed up to $8.5bn in direct funding and $11bn in loans to Intel through the CHIPS and Science Act to advance the company’s commercial semiconductor projects at various US sites.

Semiconductors were first invented in the US; however, over the years chip manufacturing in the country has significantly depleted. Today the US produces less than 10% of the world’s chips, and none of the most advanced ones that will revolutionise the AI era.

However, the Biden Administration is keen to change that. Under the CHIPS and Science Act, various investments have already been made in semiconductor manufacturing.

This has now been given a further boost, with the US government announcing that under this CHIPS Act, Intel will receive up to $8.5bn in direct funding, along with $11bn in loans for commercial semiconductor projects.

President Biden travelled to Intel’s Ocotillo campus in Chandler, Arizona, today to make the announcement in person.

The proposed funding would help...