The Trump administration’s big Intel investment comes from already awarded grants

Intel officially announced an agreement with President Donald Trump’s administration on Friday afternoon, following Trump’s statement that the government would be taking a 10% stake in the struggling chipmaker.

While Intel says the government is making an “$8.9 billion investment in Intel common stock,” the administration does not appear to be committing new funds. Instead, it’s simply making good on what Intel described as “grants previously awarded, but not yet paid, to Intel.”

Specifically, the $8.9 billion is supposed to come from $5.7 billion awarded-but-not-paid to Intel under the Biden administration’s CHIPS Act, as well as $3.2 billion also awarded by the Biden administration through the Secure Enclave program.

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