Intel has won a federal grant of up to $3.5 billion to produce semiconductors for the Pentagon as part of a classified program called “Secure Enclave.” The agreement, which involves U.S. government officials, is aimed at bolstering the production of chips for military and intelligence purposes, according to sources familiar with the deal.

The program is set to cover multiple U.S. states, including a key manufacturing facility in Arizona, Bloomberg reported. While Intel was seen as the frontrunner for the contract, there has been criticism from other chipmakers and concerns in Washington about relying too heavily on one company. Additionally, disputes over funding have been a point of contention.

Major funding amid national semiconductor push

The grant is expected to be announced as early as next week and is part of the broader $52 billion in incentives allocated under the CHIPS and Science Act, a law enacted by President Joe Biden in 2022 to revitalize the U.S. semiconductor industry and reduce reliance on Asian manufacturers.

This new funding is in addition to the $8.5 billion in grants and $11 billion in loans Intel received earlier this year under the same program. The company is currently in talks to secure further incentives to support its facilities in Arizona, Ohio, New Mexico, and Oregon. However, like other companies benefiting from the CHIPS Act, Intel has yet to receive any of these funds, and the current award is still considered provisional.

Pentagon’s confidence in Intel despite struggles

Despite Intel’s recent financial difficulties, including a disappointing earnings report and lower revenue forecasts that caused its stock to drop, the U.S. government remains confident in the company’s ability to meet its semiconductor needs. Sources say Intel is reassessing its production targets but is more likely to prioritize its U.S. facilities, particularly in Arizona and Ohio, over international projects.

The Pentagon has emphasized the importance of sourcing advanced semiconductors from a U.S. company, and Intel remains the only domestic manufacturer of cutting-edge processors. Rival manufacturers, such as Taiwan’s TSMC and South Korea’s Samsung Electronics, are also building facilities in the U.S. under the CHIPS Act, but their primary operations remain overseas.

Dependency on TSMC and foreign manufacturers

Intel still relies on TSMC for the production of some of its most advanced processors, even as it moves to establish domestic manufacturing capabilities. Discussions in Washington about potentially sourcing chips from foreign manufacturers’ U.S.-based facilities remain ongoing, but these talks are separate from the Secure Enclave program.

It remains unclear which specific chips Intel will produce under the Pentagon contract. While Intel has expressed interest in securing clients like Nvidia and Advanced Micro Devices (AMD), it has struggled to convince them to use its manufacturing services. Commerce Secretary Gina Raimondo has urged companies like Nvidia and Microsoft to consider Intel’s upcoming facility in Ohio, though no large orders have yet materialized.

Funding disputes and delays

The Secure Enclave program was initially set to receive $2.5 billion in funding from the Pentagon, but that commitment was withdrawn in February. The Department of Commerce, already overseeing $1 billion in funding, was left to shoulder the full cost. At one point, officials considered integrating Secure Enclave with other commercial production incentives for Intel, but ultimately decided to treat it as a separate initiative.

The delay in funding has not only affected Intel but also other U.S. companies. A planned commercial R&D program was scrapped, forcing the Commerce Department to reject a $4 billion funding request from Applied Materials for a project in Silicon Valley. Efforts to add $3 billion to the CHIPS Act to address these gaps have stalled in Congress.

Intel faces growing pressure

Intel’s struggles raise questions about the U.S. government’s ability to meet its semiconductor goals, including securing a reliable supply of advanced chips for the Pentagon and producing 20% of the world’s cutting-edge processors by 2030. The company has faced declining sales, financial strain, and a loss of market value, prompting its board to consider drastic measures such as splitting its manufacturing division or scaling back global operations.

The delays in government funding have further frustrated Intel, which has resisted providing some of the information requested by U.S. officials seeking to assess the viability of its manufacturing roadmap. The company’s stock hit a historic low in August after a surprise quarterly loss, leading to a credit rating downgrade and the announcement of up to 15,000 job cuts. These developments have sparked concern in Congress, as Intel was seen as a key player in rebuilding the U.S. semiconductor workforce.

Lagging behind in AI market

Despite efforts to catch up, Intel continues to trail rivals Nvidia and AMD in the rapidly growing AI chip market. CEO Pat Gelsinger has established an AI Acceleration Office to coordinate efforts across Intel’s various business units, but the company’s AI sales still lag far behind competitors. Intel expects to generate $500 million in sales from its latest AI chips this year, compared to Nvidia’s tens of billions in revenue from GPUs.

Intel’s challenges have been compounded by significant executive departures, widespread layoffs, and plummeting market capitalization. In stark contrast to Nvidia, which added $1.4 trillion to its market cap in 2023, Intel’s valuation has fallen to $83 billion, down $70 billion over the past year.

Venezuelan authorities announced the arrest of six foreign nationals on Saturday, accusing them of involvement in a plot to overthrow the government and assassinate President Nicolás Maduro.

Interior Minister Diosdado Cabello stated during a press conference that the alleged conspiracy was orchestrated with the backing of intelligence services from the United States and Spain. He further revealed that over 400 weapons had been confiscated in connection with the operation.

A total of 14 individuals have been detained, including three U.S. citizens, two Spaniards, and a Czech national, according to Cabello. The arrests are tied to what the minister described as a scheme to destabilize Venezuela through acts of violence, targeting Maduro and his administration.

While Cabello did not specify the exact timing of the arrests, he attributed the operation to the CIA and Spain’s National Intelligence Centre (CNI), citing reports from Spanish media.

Search for mercenaries

Cabello disclosed that two Spaniards were recently detained in Puerto Ayacucho, in the country’s southwest, where they were allegedly seeking to recruit mercenaries. He claimed the group was aiming to hire French and Eastern European operatives to carry out an assassination attempt on Maduro.

“We know the U.S. government is linked to this operation,” Cabello alleged, adding that the group had been in contact with mercenaries from Eastern Europe and had sought French involvement in the plan.

A spokesperson for the U.S. State Department confirmed that a U.S. military member was among those detained in Venezuela. However, the spokesperson denied any involvement by the U.S. government in a plot to overthrow Maduro and stated that they were working to gather more details about the arrests.

Spain denies involvement

The Spanish government swiftly rejected Venezuela’s accusations. Sources within the government, speaking to the EFE news agency, stated that the two Spanish nationals detained, Andrés Martinez Adasme and José María Basoa Valdovinos, were not connected to Spanish intelligence services.

The Spanish Foreign Ministry issued a statement on Sunday, affirming that the detainees had no affiliation with the CNI or any other state organization. Spain remains committed to a peaceful and democratic resolution to Venezuela’s political crisis, government sources said.

Family members of the two Spaniards, quoted in Spanish media, said the men were tourists from Bilbao with no ties to intelligence services.

Venezuela doubles down on claims

In response to Spain’s denials, Cabello reiterated Venezuela’s position, stating that it was “predictable” that Madrid would distance itself from the alleged plot. He claimed the two detainees had confessed to being part of Spanish intelligence, asserting that they had admitted their involvement in the plan against Maduro.

“Spain will naturally deny it,” Cabello said, adding that the individuals had acknowledged their participation in the operation and had connections to political groups in Venezuela, criminal organizations, and U.S. military personnel.

Cabello identified a U.S. officer, Wilber Josep Castañeda, as the leader of the operation. Castañeda was reportedly arrested in Venezuela on September 1.

Opposition leader implicated

Venezuelan authorities also implicated opposition figure María Corina Machado in the plot. According to Cabello, Machado, a prominent supporter of exiled opposition leader Edmundo González Urrutia, was one of the key architects of the alleged scheme.

González Urrutia, a former presidential candidate, has been in exile in Spain since September 8, where he has requested asylum, citing political persecution in Venezuela.

The United States, European Union, and several Latin American nations, including Brazil, have refused to recognize Maduro’s re-election in the July presidential elections.

Federal authorities are investigating an incident at Donald Trump’s golf club in Florida on Sunday that ‘appears to be an assassination attempt’.

Rafael Barros, the special agent in charge of Miami, told a news conference that Secret Service agents ‘opened fire on an armed individual who was near the property line’ of the Trump International Golf Club in West Palm Beach, adding that the agency was ‘not sure if the person in custody fired at our agents’.

Trump, who was golfing at the club at the time, was unharmed.

According to Palm Beach County Sheriff Ric Bradshaw, a Secret Service agent saw the suspect enter the golf course through the fence with a rifle and immediately fired at the man before he fled the scene. Bradshaw said Trump was 300 to 500 yards away from the suspect.

Bradshaw said law enforcement later found an AK-47-style rifle with a scope in the bushes. Two backpacks containing ceramic tiles and a GoPro camera were also found hanging from a chain-link fence. Bradshaw said the suspect was ‘intent on filming the whole thing’.

Bradshaw said a witness saw the suspect flee in a black Nissan and took photos of the vehicle and the number plate. The suspect was later stopped in the vehicle and taken into custody by authorities on Interstate 95 in neighbouring Martin County.

The FBI said in a statement that it was ‘investigating what appears to be an assassination attempt on former President Trump’. According to Bradshaw, the incident occurred around 1:30 p.m. The Palm Beach County State Attorney said prosecutors had issued a warrant for the suspect’s arrest.

Steven Cheung, the Trump campaign’s communications director, said in a statement less than an hour after the incident that the former president ‘was safe after shots were heard in his vicinity’. Trump was taken inside the golf club.

Chris LaCivita and Susie Wiles, senior advisers to the Trump campaign, sent an email to campaign staff urging them to be ‘vigilant’ in their ‘daily comings and goings’.

President Trump and all of his entourage are safe thanks to the great work of the United States Secret Service,’ the email said.

Asked how the breach had occurred, Bradshaw said Trump was ‘not a sitting president’ and that security was not as tight as it would be for a sitting president.

If he were, we’d have the entire golf course surrounded, but he’s not, so security is limited to areas the Secret Service deems possible,’ Bradshaw said.

Kamala Harris, Trump’s rival in the election, said in a statement that she was ‘deeply troubled by the possible assassination attempt on former President Trump today’.

“As the facts unfold, I will be clear: I condemn political violence, and we must all do our part to ensure that this incident does not lead to further violence,” Harris said.

On the other hand, Republicans took action against the rhetoric against Trump, who has reportedly been attacked twice in two months.

Republican Representative Mike Waltz told Fox News on Sunday: “This rhetoric about President Trump, this rhetoric about him being the next dictator, the next Hitler, has got to stop. Enough is enough. When you get rhetoric from the left, from the media, even from elected officials that Trump has to be stopped at all costs, it shouldn’t surprise anyone that these people are radicalised and mobilised in this way,” he said.

Turning Point USA founder Charlie Kirk X said: “They’re going to keep trying to kill Trump. This is just the beginning. This will only end if we win in November,” he wrote.