Intel and Brookfield reach agreement, Arizona plant receives $30 billion investment

Thank you CTOnews.com netizen Mr. Aviation for the clue delivery! According to various foreign media reports, on August 23, Intel announced a partnership with Canada's Brookfield Asset Management Company to provide up to $30 billion in funding for Intel's chip factory in Arizona.

President Joe Biden signed the Chip and Science Act earlier this month, which includes $52.7 billion in subsidies for U.S. semiconductor production and research.

Brookfield's infrastructure unit will invest up to $15 billion for a 49 percent stake in the expansion, while Intel will retain majority ownership and operational control of two chip factories in Chandler, Arizona.

Intel CFO David Zinsner said the collaboration between the two companies "builds on the background of the recent passage of the CHIPS Act in the United States."

The investment is part of an agreement between Intel and Brookfield in February. The agreement aims to explore project financing options to help finance the new Intel manufacturing base.

After Pat Gelsinger took over the company in early 2021, Intel announced billions of dollars in investments in Europe and the United States.

Although the global semiconductor industry has experienced more than two years of "core shortage" and led to production cuts in the automotive and PC industries, the current goal of both sides is to increase Intel's chip production.