Intel is on track to receive $3.5 billion in US CHIPS Act funding to
produce advanced semiconductors for American military and intelligence
programs.
The chipmaker has been a top contender for the cash with rumors
swirling since [1]November that the x86 giant would receive anywhere
from $3-$4 billion. This funding, siphoned from the overall $39 billion
in CHIPS and Science Act allotment, would presumably support the
development of a "secure enclave," which we understand to be a separate
production line dedicated to military chip production.
According to [2]Bloomberg the $3.5 billion will be dispersed over the
next three years. The news was tucked away in a spending bill passed by
the US House of Reps Wednesday, and will cement Intel as the leading
producer of silicon for the defense market.
However, it's not like Uncle Sam had much of a choice if it wanted to
keep production of military silicon in the US. Intel is so now the only
American chipmaker producing leading edge silicon domestically.
New York-based GlobalFoundries [3]abandoned development of 7nm and
smaller process tech back in 2018 in order to focus on more mature and
niche process tech in areas like radio communications, imaging,
optical, automotive, industrial, and IoT.
Even still, many of GlobalFoundries' processes still have military
applications, with the company still in early deliver on a 10-year $3.1
billion DoD [4]contract to produce semiconductors for aerospace and
defense applications awarded last fall.
That leaves Taiwan's TSMC and South Korea's Samsung Electronics, which
are [5]building fabs in Arizona and Texas, as the only other US
producers of leading edge chips. However, in this case, it seems that
the US government would rather entrust its secrets to American
companies.
References
1.
https://www.theregister.com/2023/11/07/intel_to_build_secure_facilities_military_chips/
2.
https://www.bloomberg.com/news/articles/2024-03-06/intel-stands-to-win-3-5-billion-to-produce-chips-for-military?s=31
3.
https://www.theregister.com/2018/08/27/globalfoundries_scuttles_7nm/
4.
https://www.theregister.com/2023/09/23/commerce_dept_us_chips_funds/
5.
https://www.theregister.com/2023/02/14/tsmc_chip_fab_arizona/
