Department of Commerce and Intel finalize largest award under Chips and Science Act, securing $3.94 billion to expand Arizona’s role in leading-edge microchip manufacturing
Today, the Department of Commerce announced it has finalized a $7.865 billion award to Intel Corporation through the CHIPS and Science Act, advancing Intel’s expansion of leading-edge microchip manufacturing facilities in Chandler, Arizona, which will create nearly 3,000 high-paying manufacturing jobs and 6,000 construction jobs. This award follows the preliminary agreement announced in March and will directly support Intel’s projected U.S. investment of nearly $90 billion by the end of the decade, part of the company’s broader $100+ billion expansion plan.
Arizona is home to Intel’s largest domestic manufacturing footprint, with four microchip plants in the state and two additional plants under construction in Chandler. This award will support Intel’s investments in advanced chip fabrication and packaging at its Ocotillo campus, where two state-of-the-art fabs are currently being built. These facilities will enable the production of the company’s most advanced process technologies, including Intel 18A, further solidifying Arizona’s leadership in semiconductor manufacturing and creating thousands of high-paying jobs in the state.
“I proudly championed the CHIPS and Science Act in the House because I knew no state in the country stood to benefit more than ours. Arizona has become a global hub for semiconductor manufacturing – anchored by Intel for more than 40 years. This finalized agreement starts the next chapter for Intel in the East Valley, and will bring even more investment and high-wage, high-tech jobs to our region,” said Rep. Greg Stanton.
“With Intel 3 already in high-volume production and Intel 18A set to follow next year, leading-edge semiconductors are once again being made on American soil,” said Pat Gelsinger, CEO of Intel. “Strong bipartisan support for restoring American technology and manufacturing leadership is driving historic investments that are critical to the country’s long-term economic growth and national security. Intel is deeply committed to advancing these shared priorities as we further expand our U.S. operations over the next several years.”
“Intel’s finalized agreement marks another transformative step for Arizona in global semiconductor manufacturing,” said Sen. Mark Kelly. “These historic investments will accelerate Intel’s leadership in Artificial Intelligence and next generation computing, bolstering America’s position in microchip innovation and national security, while creating thousands of good-paying jobs.”
“I was proud to lead our bipartisan CHIPS and Science Act into law – directly fueling Intel's finalized investment in Arizona – building lasting careers for Arizona families and ensuring Arizona continues to lead our country into the future,” said Sen. Kyrsten Sinema.
“Our bipartisan CHIPS and Science Act continues to deliver for Arizona,” said Rep. Ruben Gallego. “Today’s announcement cements the Valley of the Sun as the national hub for semiconductor manufacturing and will create thousands of new, good-paying jobs – many of which do not require a four-year degree.”
Since the passage of the CHIPS and Science Act, more than $102 billion in private investment from more than 40 semiconductor industry projects have been announced in Arizona.