The US government has agreed to invest $8.9 billion in struggling chipmaker Intel, according to an official statement from the company. The investment is composed of previously awarded funds under the Biden administration’s CHIPS Act and Secure Enclave program.
Intel stated that the government is making good on “grants previously awarded, but not yet paid” worth $5.7 billion from the CHIPS Act and $3.2 billion from the Secure Enclave program. The company had previously requested reimbursement for an additional $850 million in funding under the CHIPS Act, which was not yet paid.
President Trump’s administration initially announced plans to take a 10% stake in Intel, but later clarified that it would receive only a passive investment with no board seats or governance rights. Trump’s office stated that the US “paid nothing for these shares,” despite his previous criticism of the CHIPS Act and accusations against Intel CEO Lip-Bu Tan.
However, some legal experts have raised concerns that the government’s move may be subject to potential challenges under the CHIPS Act. The agreement also marks a shift in Trump’s stance on Tan, who was previously accused of conflicts of interest and called for his resignation.
In a statement, Intel expressed gratitude for the government’s investment and pledged to advance US technology and manufacturing leadership.
Source: https://techcrunch.com/2025/08/23/the-trump-administrations-big-intel-investment-comes-from-already-awarded-grants