US relaxes CHIPS Act requirements for Intel after $5.7B investment
The US government made things easier for Intel by easing CHIPS Act requirements, following its acquisition of a 10% stake in the company.
Instead of jumping through tough hoops and sharing project cash flows, Intel now only needs to show it's spending about $7.9 billion on projects—which lines up almost exactly with what it's already investing.
Trump met with Intel CEO before the deal was struck
This shake-up happened after Donald Trump met with Intel CEO Pat Gelsinger.
The US is putting $8.9 billion into Intel stock—$5.7 billion from the CHIPS Act and another $3.2 billion from the Secure Enclave program.
While there are still rules against using federal money for dividends or buybacks, overall compliance has gotten a lot simpler to help boost chip manufacturing at home, especially as competition with China heats up.
CEO David Zinser confirmed total US backing now stands at $11.1 billion when you count all forms of support.