Intel has had some latest struggles in delivering outcomes for its shareholders, however the firm may quickly be answering to an extra boss. The present administration is reportedly in talks to have the US authorities purchase a stake within the chipmaker. Bloomberg first reported the information with out specifics concerning the dimension or worth of the potential share the federal government needs to purchase. In accordance with a more moderen report by Bloomberg and The New York Times, the Trump administration is trying to take a ten p.c stake in Intel as a part of its efforts to provide home chip manufacturing a lift.
The administration is reportedly contemplating changing the $10.86 billion in federal grants Intel is getting from the US Chips and Science Act into fairness as a substitute. It is nonetheless early days, and the White Home remains to be deciding on the precise dimension of the stake. Intel initially shared plans to assemble a semiconductor facility in Ohio in 2022 whereas Pat Gelsinger was nonetheless on the helm of the corporate. Since then, the undertaking has confronted delays, and at its newest quarterly earnings report, execs mentioned Intel would “slow the pace” on the Ohio building, in addition to scrapping different worldwide constructing plans and making workforce cuts.
The potential for presidency possession of Intel is the newest swing of the administration’s perspective towards the corporate. A couple of days after calling for his resignation over connections to China, President Donald Trump met with CEO Lip-Bu Tan and appeared to now maintain a more positive outlook on the corporate chief.
A consultant from Intel instructed Bloomberg in a press release that the corporate is “deeply dedicated to supporting President Trump’s efforts to strengthen US know-how and manufacturing management. We stay up for persevering with our work with the Trump administration to advance these shared priorities, however we aren’t going to touch upon rumors or hypothesis.”
Replace, August 18 2025, 10:31AM ET: This story has been up to date to incorporate new experiences that the Trump administration is trying to take a ten p.c stake in Intel.
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