Intel gets $3 billion to make advanced chips for US military
Intel announced that it will receive up to $3 billion in funding from the U.S. government under the CHIPS and Science Act.
The funding comes as part of the Secure Enclave program, which aims to boost the production of advanced chips using Intel’s 18A technology, which will be used in US military intelligence and defense applications.
The Secure Enclave program builds on previous collaborations between Intel and the U.S. Department of Defense, including previous projects such as RAMP-C and SHIP. The partnership between Intel and the U.S. Department of Defense began in 2020 when Intel played a key role in SHIP by providing advanced semiconductor packaging, helping the U.S. Department of Defense access advanced microelectronics and modernize its defense capabilities.
Intel has participated in the RAMP-C program since 2021, providing chip manufacturing services to develop circuits for critical systems for the Department of Defense, and Intel has been able to bring in several defense industry partners, including Boeing, Northrop Grumman, Microsoft, and Nvidia.
The Secure Enclave program is designed to manufacture advanced chips for use in defense and intelligence applications in highly secure environments within the United States.
The new funding comes separate from a previous agreement the company signed in March 2024 with the U.S. government, under which it obtained $8.5 billion in financing and $11 billion in loans to build and develop its commercial semiconductor facilities. Both financings are part of the Chips and Science Act, which aims to localize the semiconductor industry in the United States.
The funding is expected to be one of the measures that will help Intel overcome the crises that have recently hit it, in parallel with the announcement of a new expanded agreement with Amazon to supply it with artificial intelligence chips, and its intention to transform the chip manufacturing sector into an independent company .