The software company Intel is likely to benefit significantly from the American CHIPS and Science Act introduced last year. The chipmaker would be the big favorite to win billions of dollars to build production facilities for the US military and intelligence agencies.

American software company Intel would soon be working for the US military and intelligence services. According to the Wall Street Journal, Intel is the favorite to build new manufacturing facilities with billions in US government funding.

Independent

The facilities are not yet publicly known and are intended to form highly secure enclaves. This could mean that it is a separate production with limited access.

For the US military, this means greater access to advanced technologies for its weapons systems. Like much of the rest of the world, the US is currently too dependent on chip production from Taiwan, where the threat of a Chinese invasion always lurks. Given the relationship between Beijing and Washington, this would be very disadvantageous for the Americans.

It’s the law

The federal money would be available thanks to the CHIPS and Science Act that Joe Biden signed into law last year. This law freed up no less than $53 billion for domestic chip production. Intel recently threatened to relocate a large part of its production to Europe if these additional investments were not made.

Details have not yet been announced. Several federal ministries involved are still negotiating the final details of the deal with Intel.