By Alexandra Alper
WASHINGTON (Reuters) -Liberal U.S. Senator Bernie Sanders on Wednesday threw his support behind President Donald Trump’s plan to convert U.S. grants to chipmakers, including $10.9 billion for Intel, into government stakes in the companies.
“If microchip companies make a profit from the generous grants they receive from the federal government, the taxpayers of America have a right to a reasonable return on that investment,” Sanders, an Independent who caucuses with Democrats, said in a statement to Reuters.
The awards were part of the 2022 Chips and Science Act, which sought to lure chip production away from Asia and boost American domestic semiconductor output with $39 billion in subsidies.
Commerce Secretary Howard Lutnick is looking into the government taking equity stakes in Intel and other chipmakers in exchange for the grants, sources told Reuters on Tuesday.
Much of the funding for companies such as Micron , Taiwan Semiconductor Manufacturing Co and Samsung has not been dispersed.
(Reporting by Alexandra Alper)
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