US Commerce Department provides $4.745 billion in subsidies to Samsung Electronics

On December 20, the U.S. Department of Commerce announced that it would provide Samsung Electronics with up to $4.745 billion in subsidies under the chip incentive program. The funds will be used to support Samsung Electronics' investment of more than $37 billion in the next few years to transform its existing facilities in central Texas into an integrated ecosystem for developing and producing chips in the United States. However, compared with the initial memorandum of terms, Samsung's subsidies were reduced by $1.655 billion, a decrease of about 25.85%. It is reported that the reason for the reduction in subsidies is that Samsung has reduced its investment scale.