In September, Intel CEO Pat Gelsinger announced plans to spin off Intel Foundry, citing potential flexibility to secure independent funding.

Intel said on Wednesday its deal for $7.86 billion in U.S. government subsidies restricts the company's ability to sell stakes in its chipmaking unit if it becomes an independent entity.

The Silicon Valley company will receive less money from the CHIPS Act after winning a $3 billion military contract and changing some of its investment commitments.

To build or expand semiconductor factories in several U.S. states.

The Biden Administration announced it released $7.865 billion in funding for Intel as part of its CHIPS Incentives Program.

Computer chip manufacturer Intel has faced setbacks with its “Silicon Heartland” fab currently under construction outside New Albany, Ohio. But after protracted negotiations, $7.8 billion in federal grants are beginning to flow to Intel projects around the country.

The Biden administration has finalized a deal to give Intel Corp. nearly $7.9 billion in federal grants, the largest direct subsidy from a program to boost domestic semiconductor manufacturing.

Donald Trump has criticized the CHIPS Act and suggested he'd prefer tariffs to incentivize semiconductor manufacturing on US soil.

The funding is lower than originally announced, but it still represents a much-needed win for Intel following a tough year.

Ohio's Intel plant is finally receiving its long-awaited $1.5 billion in federal funding, ending the two-year-long stalemate from the company's groundbreaking ceremony.