In March 2024, the Biden Administration and Intel signed a preliminary memorandum of terms (PMT) for the $8.5 billion funding. This support package is part of Intel’s larger commitment to invest more than $100 billion in expanding its US manufacturing footprint, including building new chip plants in Arizona, Ohio, Oregon, and New Mexico.

Intel and the U.S. government will likely finalise $8.5 billion in direct funding for the chipmaker before the end of the year, the Financial Times reported on Friday, citing people familiar with the discussions.

Intel (NASDAQ:INTC) is set to finalize an agreement with the U.S. government for $8.5B in direct funding by the end of this year, the Financial Times reported, citing people familiar with the matter.

Intel Corp. and the U.S. government will likely finalize a deal to provide the company with $8.5 billion in CHIPS Act funding by year’s end, the Financial Times reported today. Plans for the cash infusion were first announced in March as part of a broader financing deal.

The discussions were at an advanced stage, but there was no guarantee it will be finalised before 2024 end, the report said, adding that any takeover of all or part of Intel's business could risk disrupting the talks.