The US government is considering taking a 10% equity stake in Intel. This move would involve converting federal grants into an equity position. The government would become one of Intel's largest shareholders. The aim is to bolster domestic chip production and ensure taxpayers benefit from the subsidies provided to the company.
It is expected that the US government would not seek a board seat or exert significant control over Intel's governance. The potential investment has sparked renewed investor interest in Intel.
This agreement could set a precedent for future deals between the US government and companies receiving funding from the 2022 Chips Act. The Trump administration aims to strengthen the US position in the semiconductor industry and reduce reliance on overseas chip manufacturing.
