This website collects cookies to deliver better user experience. Cookie Policy
Accept
Sign In
The Wall Street Publication
  • Home
  • Trending
  • U.S
  • World
  • Politics
  • Business
    • Business
    • Economy
    • Real Estate
    • Markets
    • Personal Finance
  • Tech
  • Lifestyle
    • Lifestyle
    • Style
    • Arts
  • Health
  • Sports
  • Entertainment
Reading: Intel agrees to provide US a ten% stake in firm, Trump says
Share
The Wall Street PublicationThe Wall Street Publication
Font ResizerAa
Search
  • Home
  • Trending
  • U.S
  • World
  • Politics
  • Business
    • Business
    • Economy
    • Real Estate
    • Markets
    • Personal Finance
  • Tech
  • Lifestyle
    • Lifestyle
    • Style
    • Arts
  • Health
  • Sports
  • Entertainment
Have an existing account? Sign In
Follow US
© 2024 The Wall Street Publication. All Rights Reserved.
The Wall Street Publication > Blog > U.S > Intel agrees to provide US a ten% stake in firm, Trump says
U.S

Intel agrees to provide US a ten% stake in firm, Trump says

Editorial Board Published August 22, 2025
Share
Intel agrees to provide US a ten% stake in firm, Trump says
SHARE

By Michelle L. Value and Michael Liedtke | Related Press

WASHINGTON — President Donald Trump stated that Intel has agreed to provide the U.S. authorities a ten% stake in its enterprise.

Talking with reporters on Friday, Trump stated the deal got here out of a gathering final week with Intel CEO Lip Bu Tan — which got here days after the president referred to as for Tan to resign over his previous ties to China.

“I said, I think it would be good having the United States as your partner,” Trump stated. “He agreed, and they’ve agreed to do it.”

The struggling Silicon Valley chipmaker has a market cap of simply over $100 billion. The settlement comes simply after Japanese expertise big SoftBank Group disclosed Monday that it’s accumulating its 2% stake in Intel.

The official announcement is anticipated to come back later Friday, in accordance with a White Home official who was not licensed to talk publicly forward of an announcement and spoke on situation of anonymity.

What’s occurring?

The Trump administration has been in talks to safe a ten% stake in Intel in trade for changing authorities grants that have been pledged to Intel underneath President Joe Biden. If the deal is accomplished, the U.S. authorities would change into one in every of Intel’s largest shareholders and blur the standard traces separating the general public sector and personal sector in a rustic that continues to be the world’s largest financial system.

Why would Trump do that?

In his second time period, Trump has been leveraging his energy to reprogram the operations of main laptop chip corporations. The administration is requiring Nvidia and Superior Micro Gadgets, two corporations whose chips are serving to to energy the craze round synthetic intelligence, to pay a 15% fee on their gross sales of chips in China in trade for export licenses.

Trump’s curiosity in Intel can be being pushed by his need to spice up chip manufacturing within the U.S., which has been a focus of the commerce battle that he has been waging all through the world. By lessening the nation’s dependence on chips manufactured abroad, the president believes the U.S. will probably be higher positioned to take care of its technological lead on China within the race to create synthetic intelligence.

Didn’t Trump need Intel’s CEO to give up?

That’s what the president stated August 7 in an unequivocal put up calling for Intel CEO Lip-Bu Tan to resign lower than 5 months after the Santa Clara firm employed him. The demand was triggered by reviews elevating nationwide safety issues about Tan’s previous investments in Chinese language tech corporations whereas he was a enterprise capitalist. However Trump backed off after Tan professed his allegiance to the U.S. in a public letter to Intel staff and went to the White Home to satisfy with the president, who applauded the Intel CEO for having an “amazing story.”

Why would Intel do a deal?

The corporate isn’t commenting about the opportunity of the U.S. authorities changing into a serious shareholder, however Intel might have little alternative as a result of it’s at present dealing from a place of weak spot. After having fun with many years of progress whereas its processors powered the private laptop growth, the corporate fell right into a droop after lacking the shift to the cellular computing period unleashed by the iPhone’s 2007 debut.

Intel has fallen even farther behind lately throughout a synthetic intelligence craze that has been a boon for Nvidia and AMD. The corporate misplaced practically $19 billion final yr and one other $3.7 billion within the first six months of this yr, prompting Tan to undertake a cost-cutting spree. By the top of this yr, Tan expects Intel to have about 75,000 employees, a 25% discount from the top of final yr.

Would this deal be uncommon?

Though uncommon, it’s not unprecedented for the U.S. authorities to change into a major shareholder in a outstanding firm. Probably the most notable situations occurred through the Nice Recession in 2008 when the federal government injected practically $50 billion into Common Motors in return for a roughly 60% stake within the automaker at a time it was on the verge of chapter. The federal government ended up with a roughly $10 billion loss after it bought its inventory in GM.

Would the federal government run Intel?

U.S. Commerce Secretary Howard Lutnick instructed CNBC throughout a Tuesday interview that the federal government has no intention of meddling in Intel’s enterprise, and may have its arms tied by holding non-voting shares within the firm. However some analysts marvel if the Trump administration’s monetary ties to Intel would possibly prod extra corporations trying to curry favor with the president to extend their orders for the corporate’s chips.

What authorities grants does Intel obtain?

Intel was among the many greatest beneficiaries of the Biden administration’s CHIPS and Science Act, however it hasn’t been capable of revive its fortunes whereas falling behind on building tasks spawned by this system.

The corporate has obtained about $2.2 billion of the $7.8 billion pledged underneath the incentives program — cash that Lutnick derided as a “giveaway” that may higher serve U.S. taxpayers if it’s changed into Intel inventory. “We predict America ought to get the good thing about the bar

TAGGED:agreescompanyGiveIntelstakeTrump
Share This Article
Twitter Email Copy Link Print
Previous Article Bridge beneath building in China collapses into Yellow River, killing at the least 12 folks, state media say Bridge beneath building in China collapses into Yellow River, killing at the least 12 folks, state media say
Next Article Alligator Alcatraz 0, Surroundings 1—for now Alligator Alcatraz 0, Surroundings 1—for now

Editor's Pick

Nicki Minaj Calls Cardi B’s Daughter ‘Ugly’; Cardi Shoots Again That Nicki’s Son Is Nonverbal Because of Drug Use Throughout Being pregnant

Nicki Minaj Calls Cardi B’s Daughter ‘Ugly’; Cardi Shoots Again That Nicki’s Son Is Nonverbal Because of Drug Use Throughout Being pregnant

Studying Time: 3 minutes The Nicki Minaj vs. Cardi B beef has been occurring for years. Like, mainly for so…

By Editorial Board 4 Min Read
China opens world’s reported largest span bridge over Beipan River valley to visitors
China opens world’s reported largest span bridge over Beipan River valley to visitors

The Huajiang Grand Canyon Bridge opened to visitors for the primary time…

3 Min Read
Bruce Bochy out as Rangers supervisor after 3-year stint and the staff’s solely World Collection title
Bruce Bochy out as Rangers supervisor after 3-year stint and the staff’s solely World Collection title

By STEPHEN HAWKINS ARLINGTON, Texas — Bruce Bochy is not going to…

4 Min Read

Oponion

SpaceX Falcon Heavy Rocket Launched on Classified Military Mission

SpaceX Falcon Heavy Rocket Launched on Classified Military Mission

BusinessElon Musk-led company’s largest rocket flies for first time in…

November 1, 2022

Resort De Anza’s iconic neon signal will glow once more after restoration

You may keep in mind that…

June 7, 2025

Education Technology Hits a Steep Learning Curve

An investment in knowledge pays the…

February 10, 2022

76-year-old U.Ok. man accused of giving sedative-laced sweet to children at camp

A 76-year-old man in England was…

August 2, 2025

Jaime King Accused of Alcohol, Drug Use Whereas Pregnant by Ex-Husband

Studying Time: 4 minutes Earlier this…

March 20, 2025

You Might Also Like

Asking Eric: It was my dream to maneuver right here. Now how do I persuade my husband we should always return?
U.S

Asking Eric: It was my dream to maneuver right here. Now how do I persuade my husband we should always return?

Expensive Eric: I’m not completely happy the place we reside and need to transfer to be nearer to my household.…

7 Min Read
Pricey Abby: I attempted an experiment with my in-laws. The end result was distressing.
U.S

Pricey Abby: I attempted an experiment with my in-laws. The end result was distressing.

DEAR ABBY: My husband and I used to dwell in the identical metropolis as his dad and mom and sisters.…

5 Min Read
Federal choose quickly blocks Trump administration from sending Nationwide Guard troops to Oregon
U.S

Federal choose quickly blocks Trump administration from sending Nationwide Guard troops to Oregon

By CHRISTOPHER WEBER and JACK BROOK A federal choose on Sunday quickly blocked the Trump administration from deploying any Nationwide…

9 Min Read
San Jose Earthquakes’ 4-1 street loss to Vancouver damages their postseason possibilities
U.S

San Jose Earthquakes’ 4-1 street loss to Vancouver damages their postseason possibilities

The San Jose Earthquakes could have been outclassed in a lopsided 4-1 street loss to the Vancouver Whitecaps on Sunday,…

5 Min Read
The Wall Street Publication

About Us

The Wall Street Publication, a distinguished part of the Enspirers News Group, stands as a beacon of excellence in journalism. Committed to delivering unfiltered global news, we pride ourselves on our trusted coverage of Politics, Business, Technology, and more.

Company

  • About Us
  • Newsroom Policies & Standards
  • Diversity & Inclusion
  • Careers
  • Media & Community Relations
  • WP Creative Group
  • Accessibility Statement

Contact

  • Contact Us
  • Contact Customer Care
  • Advertise
  • Licensing & Syndication
  • Request a Correction
  • Contact the Newsroom
  • Send a News Tip
  • Report a Vulnerability

Term of Use

  • Digital Products Terms of Sale
  • Terms of Service
  • Privacy Policy
  • Cookie Settings
  • Submissions & Discussion Policy
  • RSS Terms of Service
  • Ad Choices

© 2024 The Wall Street Publication. All Rights Reserved.

Welcome Back!

Sign in to your account

Lost your password?