The deformation conditions in machining of metals and alloys offer a unique route for materials processing with remarkable advantages over conventional deformation processes. The intense shear strain and high strain-rates in machining can be applied to form chips with controlled geometry. That is, the chip formation in machining can be used directly as a materials processing route wherein the chip becomes the product. The technical details for two of these processes — hybrid cutting-extrusion (HCE) and modulation-assisted machining (MAM) — are discussed and recent experimental results are presented. Both processes involve direct control of the shear-based deformation in machining. HCE applies an additional constraint in cutting which converts the otherwise uncontrolled chip thickness to a controlled format of specific size and shape. In HCE processing of sheet and strip, the deformed chip thickness is less than the deformed chip thickness in conventional cutting. The superimposed oscillation in MAM converts the otherwise continuous cutting process into a series of discrete cutting events. The control of the MAM and cutting conditions enable unique control of chip formation and the production of equiaxed, fiber, and platelet powder (particle) morphologies. The HCE and MAM processes demonstrate how chip control in machining can provide a route to applications opportunities in materials manufacturing.