SAN FRANCISCO : As the Biden administration on Tuesday disclosed conditions for awarding $39 billion in subsidies to revamp U.S. semiconductor manufacturing, tech industry sources said some unexpected provisions make the funds less attractive.
"If that's a precursor to more and deeper things would be looking for in a negotiation stage, there's some criticism there that it could make it more challenging to do things," one semiconductor industry source told Reuters, requesting anonymity because of the sensitivity of the matter. In announcing the rules on Tuesday, Secretary of Commerce Gina M. Raimondo said they were meant to ensure the money was spent well, and in a way that benefited workers.
“It’s pretty odd for a foreign company to accept this kind of meddling in its business," said a third chip industry source. TSMC did not immediately respond to a request for comment.