American tech giant Intel has secured $3 billion in direct funding to support local manufacturing of semiconductors for the US military.
The investment is part of the government’s “Secure Enclave” strategy, which seeks a secure, reliable supply of microelectronic hardware for defense applications.
Funding for the initiative was sourced through Washington’s CHIPS and Science Act, bipartisan legislation signed in 2022 to improve production, supply chains, corresponding research and development, and the workforce associated with the semiconductors used for national security purposes.
“Intel is proud of our ongoing collaboration with the US Department of Defense to help strengthen America’s defense and national security systems,” Intel Federal General Manager and President Chris George stated.
“Today’s announcement highlights our joint commitment with the US government to fortify the domestic semiconductor supply chain and to ensure the United States maintains its leadership in advanced manufacturing, microelectronics systems, and process technology.”
Intel’s award follows another $8.5-billion CHIPS and Science Act award received by the company in March 2024 to develop critical semiconductor infrastructure at multiple US locations.
The project sites will be built in Arizona, Ohio, New Mexico, and Oregon, and will incorporate manufacturing and experimentation facilities.
“With this agreement, we are helping to incentivize over $100 billion in investments from Intel – marking one of the largest investments ever in US semiconductor manufacturing, which will create over 30,000 good-paying jobs and ignite the next generation of innovation,” US Commerce Secretary Gina Raimondo said during the previous award.
“This announcement is the culmination of years of work by President Biden and bipartisan efforts in Congress to ensure that the leading-edge chips we need to secure our economic and national security are made in the US.”
