Intel Wins $3.5 Billion In Grants To Make Chips For U.S. Military

Intel Corp. has officially qualified for up to $3.5 billion in federal grants to manufacture semiconductors for the U.S. Department of Defense, Bloomberg News reported.

Intel needs to make deals with U.S. companies like Apple to secure supply agreements and hopefully reduce its competitors' advantages. I Photo: Khimusa Wikimedia Commons

Harshita Meenakshi of Reuters noted that the chipmaker, which was once the world’s biggest, has been left behind by competitors like Samsung and other foundries, and is now reliant on securing business from companies like Taiwan Semiconductor Manufacturing Co., Ltd. (TSMC).

The latter, founded in 1987 by Chung Mou Chang, is now the world’s largest chipmaker.

Intel needs to make deals with U.S. companies like Apple to secure supply agreements and hopefully reduce its competitors' advantages.

The company is hoping for a boost from federal protectionist policies. TSMC, headquartered in Hsinchu, Taiwan, is the largest manufacturer and exporter of integrated circuits (IC) and silicon wafers in cleanroom environments.