Intel Wins $3B Military Chip Grant

The Biden Administration has awarded Intel Corp. up to $3 billion from the CHIPS and Science Act to develop a 'Secure Enclave' for microelectronics, which are vital for military and national security applications. This initiative is part of a broader strategy to bolster U.S. semiconductor manufacturing and reduce reliance on Asia. The $3 billion award is distinct from a potential $8.5 billion CHIPS Act grant Intel may receive for commercial production facilities in multiple states. Intel shares rose by approximately 4% following the announcement. This funding aligns with the Department of Defense's goal to secure a domestic supply of advanced microelectronics. The Secure Enclave program will further fortify the U.S. semiconductor supply chain, ensuring technological leadership and national security.