Zhi Tong Cai Jing·2025-08-30 06:37Core Points - Intel has modified its funding agreement with the U.S. Department of Commerce regarding the CHIPS Act, removing previous project milestone requirements and receiving approximately $5.7 billion in cash upfront, providing greater flexibility in fund usage [1] - The revised agreement is based on an initial financing agreement from November 2024, while retaining certain restrictive clauses, including prohibitions on using the funds for dividend payments and stock buybacks, specific ownership changes, and business expansion in certain countries [1] - As part of the agreement, Intel issued 274.6 million shares to the U.S. government, with an additional commitment for the government to purchase up to 240.5 million shares under certain conditions [1] - Intel has already invested at least $7.87 billion in projects eligible for funding under the CHIPS Act [1] - The U.S. government now holds a 9.9% stake in Intel, raising concerns about the future development prospects of U.S. companies following President Trump's indication of plans to pursue more similar transactions [1] - The total government funding support for Intel has reached $11.1 billion, combining the recent $8.9 billion investment with a previous $2.2 billion subsidy [2] - Intel's CFO stated that the government's stake plan is essentially an incentive for Intel to maintain control over its contract manufacturing business [2]