Intel CEO expresses frustration over CHIPS Act delays

Intel reported that its third-quarter revenue hit $13.28 billion, surpassing analyst projections of $13 billion, even though the company took an adjusted loss of $0.46 per share. For the fourth quarter, revenue estimates for Intel are between $13.3 billion and $14.3 billion, exceeding Wall Street's expectation of $13.6 billion.

In an interview with Yahoo Finance, Intel's CEO, Pat Gelsinger, discussed the Q3 losses, explaining that they were due to non-cash accounting hits tied to severance payouts and equipment impairments. Gelsinger reassured that these costs wouldn't affect Intel's usual business activities.

He also discussed Intel's ongoing plans, like advancements in AI-driven PC technology and an extensive partnership with Amazon Web Services to ramp up chip production. Intel is also searching for more foundry opportunities with major hyperscale clients.

Gelsinger didn't hide his frustration with how slowly the CHIPS Act is rolling out. Despite Intel pouring $30 billion into U.S. manufacturing plants since the Act was passed, they haven't received any of the promised grant money yet. Intel has started other financing routes to keep things moving, including the Semiconductor Co-Investment Program (SCIP), where they're teaming up with Brookfield Asset Management for their Arizona facilities.

Intel's growth plans in the U.S. are still in full swing, with new facilities coming up in Arizona and Ohio. While the Ohio site faced some delays due to market conditions, Intel says it's committed to expanding its U.S.-based production. So far, the company has locked down $8.5 billion in direct investments, potential loans up to $11 billion, and a 25 percent investment tax credit that could reach up to $100 billion.