US Government Takes 10 Percent Stake in Intel

Contact Your Elected Officials

The White House announced on Aug. 22 that the U.S. government now officially holds a 10 percent stake in struggling chipmaker Intel.

Commerce Secretary Howard Lutnick announced the deal on X.

“BIG NEWS: The United States of America now owns 10% of Intel, one of our great American technology companies,” Lutnick wrote.

The deal had been in the works since the White House signaled early this week that the U.S. government would seek a stake in the company in exchange for the almost $11 billion in grants the company obtained under the CHIPS and Science Act.

Before the announcement, President Donald Trump confirmed that Intel had agreed to give the federal government a 10 percent stake in the company.

Trump, speaking to reporters at the Oval Office on Aug. 22, said that Intel CEO Lip-Bu Tan agreed to the arrangement during their Aug. 11 meeting.

“He walked in wanting to keep his job, and he ended up giving us $10 billion for the United States,” Trump said.

Despite Trump’s previous criticisms of Tan over his alleged connections to China, the president noted that he “liked him a lot” and “thought he was very good.”

“I said: ‘You know what? I think the United States should be given 10 percent of Intel.’ And he said, ‘I would consider that,’” Trump told reporters.

“I said, ‘I think it would be good having the United States as your partner.’ He agreed, and they’ve agreed to do it, and I think it’s a great deal for them.”

Intel, Trump said, had been left behind by many of its industry competitors, such as Nvidia and TSMC, in recent years.

“This historic agreement strengthens U.S. leadership in semiconductors, which will both grow our economy and help secure America’s technological edge,” Lutnick wrote.

He thanked Intel’s CEO “for striking a deal that’s fair to Intel and fair to the American People.”

Shares of Intel climbed by as much as 6 percent to close out the trading week, adding to the stock’s year-to-date gain of 22 percent.

Breathing Room for the Chipmaker

Government backing may offer Intel a much-needed cushion following its $19 billion annual loss—its first in nearly four decades.

The $100 billion company recently added to its momentum after receiving a $2 billion capital injection from Japan’s SoftBank.

Earlier this week, Lutnick noted that the federal government was not pursuing governance rights or a voting stake to direct Intel’s operations. Instead, the president wanted to obtain “a good return for the American taxpayer instead of just giving grants away,” he said.

“We want Intel to be successful in America,” Lutnick said in an Aug. 19 interview with CNBC’s “Squawk Box.”

“We’d like an American transistor built in America, right? We’d like an American to be doing that.”

By Andrew Moran

Read Full Article on TheEpochTimes.com

The Epoch Times
The Epoch Timeshttps://www.theepochtimes.com/
Tired of biased news? The Epoch Times is truthful, factual news that other media outlets don't report. No spin. No agenda. Just honest journalism like it used to be.

Government Shutdown, Health Care, Tax Breaks=Perfect Storm

The shutdown over cuts to health subsidies for the poor stems from Trump’s OBBB plan, which critics say funneled trillions to the wealthy.

3I/Atlas Comet or UFO Arrives Tomorrow!

The 3I/Atlas object is hurtling toward our solar system on a strange path and composition, set to pass behind the sun, obscuring visual and radio tracking.

‘I’d Be Finished’: Vaccine Researcher Trashes Own Study to Save Career

Most doctors comply with the system, following orders to keep their jobs, income, and prestige, even if it means setting aside independent judgment.

Kamala, Please Run Again

Kamala Harris hinted she wants to run for President in 2028, despite poor poll numbers and her loss in 2024. If she runs, the big winners will be the GOP.

Rosie O’Donnell vs. Her Therapist

Rosie O’Donnell's therapist attempted to artfully introduce to her client to the possibility that Rosie's outrage might be performative. It didn’t take.

Federal Judge Extends Order Blocking Firings During Shutdown

A federal judge on Oct. 28 indefinitely blocked the Trump administration from firing federal employees during the ongoing federal government shutdown.

Los Angeles Dethrones Chicago as ‘Rattiest’ US City

Los Angeles has dethroned Chicago as the “rattiest” U.S. city after more than a decade, becoming the new top haven for rodents.

Prediction of Climate Catastrophe Loses Some of Its Strongest Advocates

Bill Gates says the “doomsday view” of climate catastrophe is wrong, signaling a major shift in the global warming debate.

DOJ to Review Biden’s Use of Autopen for Pardons

The DOJ will review the Biden administration’s use of an autopen for thousands of pardons, U.S. Attorney General Pam Bondi confirmed Tuesday.

Trump, Japanese PM Sign Critical Minerals, Rare Earths Deal

The U.S. president visited Tokyo on the second leg...

Trump Hikes Canada’s Tariffs by 10 Percent for Not Pulling Anti-Tariff Ad Immediately

Trump announced he will increase tariffs on Canada by 10% after ad by provincial government of Ontario misrepresented President Reagan’s speech on tariffs.

Trump Rolls Back Emissions Rules on Copper Smelters

President Trump issued a proclamation aimed at reversing a Biden-era environmental rule that enforced stricter air emission standards on copper smelters.

Donor Gives $130 Million to Cover Shortfall in Troop Pay During Shutdown

Trump announced on Oct. 23 that an anonymous donor sent $130M to cover military pay during the ongoing government shutdown.
spot_img

Related Articles

Popular Categories

MAGA Business Central