GlobalFoundries confirms $1.5 billion award from the US Chips and Science Act

What just happened? GlobalFoundries, the third-largest semiconductor foundry in the world, is finally receiving the funding promised by the US government through the Chips Act. The official announcement outlines the three main projects that will be supported by the grant, along with a massive, multi-year investment effort.

The previously leaked decision to award GlobalFoundries $1.5 billion in subsidies to manufacture chips in the US is now official. The company has announced an agreement with the US Department of Commerce to receive direct funding through the Chips and Science Act, securing what will likely be the last subsidies granted under this ambitious plan before a new federal administration takes office in Washington.

The $1.5 billion award follows a preliminary memorandum of terms signed in February 2024, according to GlobalFoundries. The funding will be used to expand the company's "essential" chip manufacturing capabilities in the United States, which will ...