Intel Gets $5.7 Bln CHIPS Grant Turned Into U.S. Equity Stake

Intel Corp. has received $5.7 billion in previously unpaid funding under the CHIPS and Science Act, its chief financial officer told investors at a Deutsche Bank conference. The grant is being converted into an equity stake held by the US government, the executive said, adding that management had earlier worried about meeting some of the act’s performance milestones. The disclosure follows comments this week from US Commerce Secretary Lutnick, who criticised an earlier, separate grant to Intel for carrying no specific requirements. The department is tightening oversight of semiconductor subsidies as it rolls out tens of billions of dollars aimed at expanding domestic chip production. Intel’s CFO also said the company is only “a couple of weeks” away from closing its acquisition of programmable-chip maker Altera, a deal intended to deepen the firm’s reach into data-centre and AI markets.