Biden Finalizes $6.6B Grant, $5B Loans to TSMC, Spurring $65B Arizona Chip Investment

Nov 15, 2024, 01:12 PM

The Biden administration has finalized a $6.6 billion grant under the CHIPS Act to Taiwan Semiconductor Manufacturing Company (TSMC) to support its semiconductor manufacturing facilities in Arizona. Announced by the U.S. Commerce Department, this agreement marks a significant milestone in efforts to bring advanced semiconductor production back to the United States. The CHIPS Act funding includes $6.6 billion in grants and $5 billion in loans. The funds will be disbursed in stages, with TSMC expected to receive at least $1 billion by the end of this year. The investment aims to spur $65 billion in private investment, leading to the construction of three facilities in Arizona and the creation of tens of thousands of jobs by the end of the decade. The funding is considered crucial for strengthening U.S. leadership in advanced semiconductor technology and enhancing national security.