3 ms·

As if US companies didn't already have those kinds of subsidies [0]. Whole US states will wave away taxes and offer all kinds of perks just to attract the jobs

As if US companies didn't already have those kinds of subsidies [0]. Whole US states will wave away taxes and offer all kinds of perks just to attract the jobs and business of these corporations. [0] https://subsidytracker.goodjobsfirst.org/parent/intel https://subsidytracker.goodjobsfirst.org/parent/intel

georgeburdell 5y ago
According to that website, Intel has received $6B in government subsidies from 1993/2000, variously, to present. Here are Intel's profits for the past 5 full years: 2020: $20.9B [0] 2019: $21B [0] 2018: $21.1B [1] 2017: $9.6B [1] 2016: $10.3B [2] $6B is a low single digit percentage of their profit going back 28 years. BOE has been subsidized on a whole other level and they're still not consistently profitable. [0] https://www.intc.com/news-events/press-releases/detail/1439/intel-reports-fourth-quarter-and-full-year-2020-financial https://www.intc.com/news-events/press-releases/detail/1439/... [1] https://www.intc.com/news-events/press-releases/detail/1092/intel-reports-fourth-quarter-2018-financial-results https://www.intc.com/news-events/press-releases/detail/1092/... [2] https://www.intc.com/news-events/press-releases/detail/1102/intel-reports-record-full-year-revenue-of-59-4-billion https://www.intc.com/news-events/press-releases/detail/1102/...
- ErikVandeWater 5y ago
  The fact that $6 Billion dollars is a fraction of their profit suggests the United States could just regulate that they and other large US semiconductor firms must produce more chips locally. No need to subsidize.
  - colechristensen 5y ago
    Or just put taxes on foreign dumping/oversubsidized products. Development grants are good things but these huge companies don’t need them, have plenty of resources to build capacity and new products. We should be funding new competition and science not playing subsidizing games with our biggest companies.
- deleted 5y ago
  [deleted]
- onion2k 5y ago
  There's a lot of nuance missing from your post. First, $6bn between 1993 and 2000 is worth a bit more in today's money. Second, the $6bn you mention is only what Intel Corp received directly; money to their suppliers, subsidiaries, companies they acquired immediately after the subsidy was granted, etc won't be counted in that total. And lastly, if you counted 2021 in the number you'd have to add tens of billions more due to a huge surge in chip manufacturer subsidies passed by the senate recently. There's nothing wrong with subsidising Intel. They're competing against countries like South Korea whose government recently announced a package of chip manufacturer subsidies worth $450bn after all. They won't be able to compete if they're aren't given a little help.
tw04 5y ago
Remind me how many of the states that are giving tax breaks are majority stakeholders in the companies they're giving tax breaks to. Also, which company can you point to that had 50% of their revenue in subsidies...

georgeburdell 5y ago

According to that website, Intel has received $6B in government subsidies from 1993/2000, variously, to present. Here are Intel's profits for the past 5 full years: 2020: $20.9B [0] 2019: $21B [0] 2018: $21.1B [1] 2017: $9.6B [1] 2016: $10.3B [2] $6B is a low single digit percentage of their profit going back 28 years. BOE has been subsidized on a whole other level and they're still not consistently profitable. [0] https://www.intc.com/news-events/press-releases/detail/1439/intel-reports-fourth-quarter-and-full-year-2020-financial https://www.intc.com/news-events/press-releases/detail/1439/... [1] https://www.intc.com/news-events/press-releases/detail/1092/intel-reports-fourth-quarter-2018-financial-results https://www.intc.com/news-events/press-releases/detail/1092/... [2] https://www.intc.com/news-events/press-releases/detail/1102/intel-reports-record-full-year-revenue-of-59-4-billion https://www.intc.com/news-events/press-releases/detail/1102/...

ErikVandeWater 5y ago
The fact that $6 Billion dollars is a fraction of their profit suggests the United States could just regulate that they and other large US semiconductor firms must produce more chips locally. No need to subsidize.
- colechristensen 5y ago
  Or just put taxes on foreign dumping/oversubsidized products. Development grants are good things but these huge companies don’t need them, have plenty of resources to build capacity and new products. We should be funding new competition and science not playing subsidizing games with our biggest companies.
deleted 5y ago
[deleted]
onion2k 5y ago
There's a lot of nuance missing from your post. First, $6bn between 1993 and 2000 is worth a bit more in today's money. Second, the $6bn you mention is only what Intel Corp received directly; money to their suppliers, subsidiaries, companies they acquired immediately after the subsidy was granted, etc won't be counted in that total. And lastly, if you counted 2021 in the number you'd have to add tens of billions more due to a huge surge in chip manufacturer subsidies passed by the senate recently. There's nothing wrong with subsidising Intel. They're competing against countries like South Korea whose government recently announced a package of chip manufacturer subsidies worth $450bn after all. They won't be able to compete if they're aren't given a little help.

tw04 5y ago

Remind me how many of the states that are giving tax breaks are majority stakeholders in the companies they're giving tax breaks to. Also, which company can you point to that had 50% of their revenue in subsidies...