The Silicon Valley company will receive less money from the CHIPS Act after winning a $3 billion military contract and changing some of its investment commitments.
A plan to revive U.S. chip manufacturing rests partly on a company that is firing workers and delaying factories, even as the government pushes for the opposite.
Microsoft said it would invest $1.5 billion in G42, an Emirati company with ties to China, as Washington and Beijing maneuver to secure tech influence in the Persian Gulf.
The federal grants will support Samsung’s new chip manufacturing hub in Taylor, Texas, along with the expansion of an existing site in Austin.
The release of a homegrown Chinese smartphone during a visit by the Biden official in charge of regulating such technology shows the U.S.-China tech conflict is alive and well.
Gina Raimondo, who is in China this week, has said banning TikTok could “lose every voter under 35, forever.”
The state has little experience with semiconductors, but the Biden administration has promised to unleash opportunity in “the heartland of America” through the $52 billion CHIPS Act.
The Biden administration announced its strategy for the National Semiconductor Technology Center, a string of facilities aimed at propelling U.S. innovation.
The tensions over the Chinese-owned social media app will come to a head on Thursday, when the company’s chief executive testifies on Capitol Hill.
The state has become a hub for chip makers including Intel and TSMC, as the government prepares to release a gusher of funds for the strategic industry.
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