A large chip factory currently in the early stages of being built outside of Columbus, Ohio, could be scaled back or delayed depending on what Congress does with the CHIPS Act.
The most significant expansion of U.S. based chip manufacturing in years was announced in January. The initial investment of $20 billion was committed by Intel.
We are grateful for the support of Governor DeWine, the state government and our partners in Ohio as we begin construction on a new leading-edge Semiconductor manufacturing plant. The scope and pace of Intel's expansion in Ohio will be dependent on funding from the CHIPS Act.
CHIPS Act funding has moved more slowly than we anticipated and we don't know when it will get done. It is time for Congress to act so we can move forward at the speed and scale we have long envisioned for Ohio and our other projects to help restore U.S. Semiconductor manufacturing leadership and build a more resilient Semiconductor Supply Chain.
The subsidies from the U.S. government were part of the plan for the facility. The bill was passed by the Senate but hasn't been signed into law.
Lawmakers are trying to work out differences between two different versions of legislation that were passed in the last year. The chip funding is just one part of a larger package that needs to be negotiated.
The Biden administration praised the Ohio factory as an example of the president's efforts to increase manufacturing capacity in the U.S.
If you travel east of Columbus, you will find a lot of empty land. The ground on which America's future will be built is called a 'Field of dreams.' Biden said in the speech that Intel is going to build a $20 billion mega site in this location.
Increasing the amount of chip fabrication on U.S. soil is important for national security.
During trading on Thursday, Intel shares were down less than 1%.
Lauren Feiner made a contribution to the story.
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