Intel has managed to secure a $7.86 billion Investment through the newly incorporated CHIPS & Science Act. Here's more about it.

In September, Intel CEO Pat Gelsinger announced plans to spin off Intel Foundry, citing potential flexibility to secure independent funding.

The Biden Administration announced it released $7.865 billion in funding for Intel as part of its CHIPS Incentives Program.

Intel's $7.86B subsidy mandates it keep majority control of its chip unit, Intel Foundry, and get US approval for ownership changes.

After delays and lobbying from business groups around the country, the U.S. Department of Commerce and Intel announced a deal Tuesday morning to release nearly $8 billion in direct CHIPS Act funding.

Donald Trump has previously criticized the CHIPS Act and suggested he would prefer tariffs to incentivize semiconductor manufacturing on US soil.

Computer chip manufacturer Intel has faced setbacks with its “Silicon Heartland” fab currently under construction outside New Albany, Ohio. But after protracted negotiations, $7.8 billion in federal grants are beginning to flow to Intel projects around the country.

Intel said on Wednesday its deal for $7.86 billion in U.S. government subsidies restricts the company's ability to sell stakes in its chipmaking unit if it becomes an independent entity. The U.S. Commerce Department announced the subsidy to Intel on Tuesday,

Intel must maintain control of Intel Foundry even in case it decides to spin it off into a separate private or public company.

Intel revealed that the U.S. government subsidies require it to retain at least 50.1% ownership of Intel Foundry if separated into a private entity, and limit sales to a single shareholder to 35% if the unit becomes public,