Trump administration weighs 10% stake in Intel via Chip Act grants
Intel CEO Lip-Bu Tan is leaving the White House in the US, Washington DC on Monday, August 11, 2025.
Alex Wroblewski | Bloomberg | Getty Images
Trump Management is discussing taking 10% shares IntelAccording to a Bloomberg report on Tuesday, an agreement that can see that the US government is the largest stakeholder of the chipser.
As a part of a potential agreement, the government is considering transforming some or all of the grants of Intel from the 2022 US -type and Science Law into equality in the company report He said, a White House official and other people familiar with the issue.
Embatted Chipmaker’s current market value, 10% shares will be about 10.4 billion dollars. In the meantime, Intel received a grant of approximately $ 10.9 billion, this is 7.9 billion dollars For commercial production and 3 billion dollars For national security projects.
Intel investors initially welcomed the news about government investments, which resulted in a stock rally of about 9% on August 14th.
However, in the report, the idea remains unclear whether the idea is widening in a broad way within the administration, or whether the authorities have increased the probability with the affected companies.
It remains unclear whether the exact size of the garden is in the flow and whether the White House will really continue with the plan. Intel and the White House did not immediately respond to CNBC’s queries on the report.
Intel, once a dominant force in the US chip industry, fell behind global competitors in advanced chipset production. Stimulating the former US CHIP champion became a national priority in Washington with reports about a potential government shares in the company that first wandered last week.
As part of Washington’s efforts to revive the leadership of the US in semiconductor production, the company has been the largest buyer of the 2022 CHIPS Law under the Biden administration.
The bill allocated a grant of $ 39 billion for American semiconductor production projects.
Although US President Donald Trump supports the general objectives of the Chips Law, the bill became the vocal critic of the bill and even called for him. Lift up in early this year. Although the Republican MPs in Washington are reluctant to act on this call, US Trade Secretary Howard Lutnick said in June that the administration had negotiated some grants of the bill.
If Intel’s CHIP law funds will be transformed into a potential government shares in the company, it may reduce the total amount of capital instilled in the company as part of any agreement made by Washington.
However, it will serve as the last example of the Trump administration’s interest in forming government -supported national champions in strategic industries.
Intel struggled to get an advantage in the explosion of artificial intelligence, and despite a major expenditure, it has not yet caught an important customer for production business.
Some analysts argued that government intervention was necessary for the struggle of the struggle and the US national security. Others claim that Intel’s problems are deeper than financing, and it’s not clear how the government can help it.
Analysts also noted that Trump can shake companies to buy intel chips through tariffs and arrangements.
On Tuesday, it was announced that Softbank invested 2 billion dollars in Intel. According to LSEG, the investment touched about 2% of Intel and makes Softbank the fifth largest shareholder. “This strategic investment reflects our belief that the advanced semiconductor production and supply in which Intel plays a critical role,” Masayoshi Son, President and CEO of Softbank Group, will expand. “
Intel welcomed investors at the beginning of the news about the government investment, which resulted in a stock rally on August 14th on August 14th. Intel shares fell over 3% in the Bloomberg report on Monday, but a software investment news fell more than 5% in nightgown transactions in Robinhood on the trade platform.
Intel CEO Lip-Bu, appointed in March 2025, met with Trump in the White House last week after asking the US president to overthrow with China due to past ties.
After the meeting, Trump changed his melody on the Intel Chief, saying it was an “incredible story”. At that time, it is unclear whether a potential government shares in the company were discussed.
Read the entire Bloomberg story Here.
