Applied Materials’ plant rejected for CHIPS Act grants, Bloomberg reports

U.S. Commerce Department officials have informed Applied Materials that its planned $4B Silicon Valley R&D facility doesn’t qualify for CHIPS Act grants, Bloomberg’s Mackenzie Hawkins reports, citing people familiar with the matter. While many applicants have been turned down due to limited resources, Applied Materials’ rejection stands out, the people say, given how closely aligned the project is with the Biden administration’s goal of reviving the domestic semiconductor industry. The decision suggests the U.S. is unlikely to support any major chip equipment makers with direct subsidies from the Chips Act, according to the people.