Biden announces up to $8.5 bil. direct funding to Intel

US President Joe Biden says his administration will provide direct funding of up to 8.5 billion dollars to chipmaker Intel. The funds are intended to help build and expand domestic plants making cutting-edge semiconductors.

Biden visited an Intel facility in the state of Arizona on Wednesday, where he also announced an 11-billion-dollar loan to the company.

He said, "If we invest in America, we can change the country's future and lead the world again."

The combined 19.5 billion dollars is the biggest yet under the CHIPS and Science Act. The law was established in 2022 to support the domestic production and development of semiconductors.

The White House says the new investment will create nearly 30,000 jobs.

Biden is apparently showing his commitment to the US manufacturing industry as he seeks reelection in the fall.

The move is also being seen as a signal to China, which has been developing advanced chips on the back of huge injections of government money.