Plus: Trump reportedly gave chipmaker license to sell to Huawei back in the day...
The Santa Clara-based chipmaker was the leading candidate to receive billions from Washington for facilities to manufacture chips for US military and intelligence applications, as, it was widely expected that Intel was about to be given the nod to a total of $3.5 billion of funding, ultimately from the CHIPS Act pot, to setup a dedicated production line for military chips.
The Department of Commerce, which was to provide $1 billion of the funding to Intel, is understood to have been instructed by Washington to make up the difference. This could mean that the amount may have to be swiped from CHIPS Act funding that would otherwise have gone to other projects. The intended purpose is ensure access to advanced chips that the US military needs, and also to address concerns that America is too dependent on silicon produced in other countries, particularly Taiwan.
The trade was said to be worth hundreds of millions of dollars, which AMD was deprived of a share of. It also looks bad when the US has been pressuring allied nations to:"We are committed to ensuring the Department of Defense has access to secure microelectronics, and will continue collaborating across the interagency on this critical national security priority.
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