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I don't like CHIPS, but I'll try to justify it... by flapjack

Very little semiconductor manufacturing and assembly takes place in the US. We saw US manufacturers of end equipment (like auto) greatly impacted by global instability of the supply chain.

Manufacturing semiconductor wafers is capitally intensive. These are large construction jobs. That construction money stays in the US. These factories, once running, employee relatively highly skilled labor with high wages.

Assembly of semiconductors is labor intensive, so most is done in Asia. To bring this portion of the business to the US requires a higher level of automation (more capital). There needs to be some incentive for companies to assemble in the US vs. Asia.

This isn't subsidizing NVDA or AMD. It will be a wash to them; they do no manufacturing or assembly. They will enjoy a more secure supply chain.