Trump administration official says some CHIPS Act companies won’t need to give up equity

Last week, the Trump administration said it could require an Intel share for $ 10.86 billion in federal grants received by the company from the law of Chips and Sciences (chips). However, not all companies that receive funds under the same program need to give up shares, Wall Street Magazine I mentioned. Companies like TSMC and Micron, whose investments in the United States have increased any additional obligations, will not have a government official familiar with the issue.

Eleer, the Minister of Commerce, Huard Lottenic, seemed to be Bernia with comments about the company’s H20 AI chips, and perhaps also sclab the tsmc chips in a wrong way. “The Biden Administration was literally giving Intel [money] Free, give TSMC free money, and all of these companies, just give them money for free, “he said CNBC Tuesday. “Donald Trump runs this to his saying,” Hey, we want property rights for money. If we will give you money, we want a piece of procedure. “

However, TSMC may have noticed that Intel Equity Kerfuffle and CEO held initial discussions on delivering subsidies if the United States government asked to become a shareholder, according to what he said Wsjsources. TSMC received $ 6.6 billion for the Arizona factory, which began to produce chips late last year for Apple and others. However, the company recently said it will invest another $ 100 billion over the next four years to build three other manufacturing factories, two advanced packaging facilities and a main research and development center.

Because of this additional investment, the Trump administration will not require a piece of TSMC or Micron (whose American facilities in Idahu, New York and Virginia have also expanded. “The Ministry of Commerce is not looking to take the shares from TSMC and Micron,” said an unveiled official.

In any case, the United States government’s attempts will face property rights in companies to take legal challenges because of the language in contracts. Companies must already share revenues with the United States government if the profits rise up from a certain amount.

In another development, the United States government may transfer up to two billion dollars in the financing chips law towards critical metal projects in the United States, Reuters I mentioned. This step aims to reduce dependence on the United States on China for the main metals used widely in electronics and defense industries. “The administration is trying to find ways to finance the critical metal sector,” a Reuters source said, adding that these plans may change.