By Ethan Faverino |
Intel Corporation is under fire following its receipt of significant funding from the CHIPS and Science Act, followed by recent job cuts nationwide and hiring a new CEO with ties to the Chinese Communist Party (CCP).
In November of 2024, the U.S. Department of Commerce finalized $7.86 billion of taxpayer dollars to Intel under the CHIPS and Science Act to support semiconductor manufacturing and advanced packaging projects in Arizona, New Mexico, Ohio, and Oregon.
This funding, part of a broader $100 billion investment plan by Intel, was intended to boost U.S. semiconductor production, create thousands of jobs, and enhance national security by reducing reliance on foreign supply chains.
In Arizona, the award was expected to support the construction of two new fabrication plants and the modernization of an existing facility at Intel’s Ocotillo campus in Chandler, creating 3,000 manufacturing jobs and over 6,000 construction jobs.
However, Intel’s announcement in August 2024 of a global workforce reduction of approximately 15,000 jobs, including 400 at its Chandler facility, has raised concerns about the alignment of these cuts with the CHIPS Act’s goal of fostering U.S. job growth.
The layoffs, part of a $10 billion cost-cutting plan prompted after a $1.6 billion net loss in Q2 2024, face criticism as Intel continues to benefit from taxpayer-funded incentives.
President Trump addressed these concerns about national job loss and a new CEO, saying, “The CEO of INTEL is highly CONFLICTED and must resign, immediately. There is no other solution to this problem. Thank you for your attention to this problem!”
This has gotten support from other GOP members across the country, with Senator Rick Scott following up, saying, “President Trump is right, Intel owes American taxpayers answers TODAY. Intel accepted tax dollars from the CHIPS Act, and instead of investing in America, they cut jobs in the U.S. and hired a CEO with a cozy relationship to the CCP. The CHIPS Act was intended to benefit America, not our adversaries. Intel should return every dime of this taxpayer funding IMMEDIATELY!”
Ethan Faverino is a reporter for AZ Free News. You can send him news tips using this link.
