Close Menu
  • Home
  • Business
  • Gaming
  • General
  • News
  • Politics
  • Sport
  • Tech
  • Top Stories
  • More
    • About
    • Privacy Policy
    • Contact
    • Cookies Policy
    • DMCA
    • GDPR
    • Terms and Conditions
Facebook X (Twitter) Instagram
ZamPoint
  • Home
  • Business
  • Gaming
  • General
  • News
  • Politics
  • Sport
  • Tech
  • Top Stories
  • More
    • About
    • Privacy Policy
    • Contact
    • Cookies Policy
    • DMCA
    • GDPR
    • Terms and Conditions
Facebook X (Twitter) Instagram
ZamPoint
Home»Top Stories»White House announces chipmaker Intel to give US government 10% stake
Top Stories

White House announces chipmaker Intel to give US government 10% stake

ZamPointBy ZamPointAugust 22, 2025No Comments4 Mins Read
Facebook Twitter Pinterest LinkedIn Tumblr Email
White House announces chipmaker Intel to give US government 10% stake
White House announces chipmaker Intel to give US government 10% stake
Share
Facebook Twitter LinkedIn Pinterest Email

Lily JamaliReporting fromSan FranciscoGetty Images The Intel logo is displayed on a sign in front of Intel headquarters on July 16, 2025 in Santa Clara, California. Getty Images

US Secretary of Commerce Howard Lutnick said on Friday that the federal government will take a 10% stake in US chipmaker Intel.

“This historic agreement strengthens US leadership in semiconductors, which will both grow our economy and help secure America’s technological edge,” Lutnick wrote on X in a post accompanied by a photo of himself with Intel CEO Lip-Bu Tan.

President Donald Trump revealed the deal earlier on Friday during remarks in the Oval Office, calling it a “great deal for them”.

Shares of the Santa Clara, California-based chipmaker soared more than 5% on Friday.

Intel said in a statement that the US government would make a $8.9bn (£6.6bn) investment in Intel common stock.

The funds were set to come from grants that were previously awarded but not yet paid, Intel said, including monies promised under the US CHIPS and Science Act which was passed during President Joe Biden’s administration.

“As the only semiconductor company that does leading-edge logic R&D and manufacturing in the US, Intel is deeply committed to ensuring the world’s most advanced technologies are American made,” Mr Tan said in a statement.

“President Trump’s focus on US chip manufacturing is driving historic investments in a vital industry that is integral to the country’s economic and national security,” he added.

The CHIPS Act was passed with the aim of reshoring chip manufacturing in the United States.

Intel has struggled in recent years to build out more chip capacity and has fallen far behind rival Nvidia whose market cap has soared past the $4tn mark while Intel’s has languished around $100bn.

The one-time Silicon Valley icon has failed to capitalise on the development of mobile technology and, more recently, artificial intelligence which Nvidia has dominated.

Under attack

Intel had found itself in US President Donald Trump’s crosshairs in recent weeks.

Earlier this month, Trump called on Mr Tan to immediately resign, accusing him of having problematic ties to China.

Trump called Mr Tan “highly conflicted” for alleged investments in companies which the US says are linked to the Chinese military.

Mr Tan referred to the accusations as “misinformation” in a note sent to Intel staff, in which he defended himself and said he had “always operated within the highest legal and ethical standards.”

Mr Tan is a US citizen born in Malaysia and raised in Singapore.

It is legal for Americans to invest in Chinese firms.

Trump’s attack came after Republican Senator Tom Cotton delivered a letter to Intel’s board raising similar concerns and questioning the company’s ability to be a “responsible steward of American taxpayer dollars and to comply with applicable security regulations”.

Mr Tan visited the White House to meet with Trump after the president’s attacks.

A ‘creative idea’

Friday’s announcement comes after White House Press Secretary Karoline Leavitt called the proposal “a creative idea that’s never been done before” earlier in the week.

The Trump administration recently ordered Nvidia and AMD to give the government a 15% cut of the revenue from AI chip sales to China, according to reports.

While the approach is considered unusual, Jacob Feldgoise, a Senior Data Research Analyst at Georgetown University’s Center for Security and Emerging Technology, drew parallels between the equity stake and the previous approach of giving Intel grant funding.

“It’s still in service of the same overall objective which is taking a more direct role in private markets to advance US economic and national security objectives, particularly around maintaining technological leadership – or really regaining it – when it comes to semiconductor manufacturing,” Mr Feldgoise told the BBC.

The deal is considered rare in the modern era, but not without precedent.

During the Great Financial Crisis in 2008, the US government took a majority stake in automaker General Motors which was poised to enter into bankruptcy protection.

It eventually exited its position, incurring a loss of about $10bn.

Mr Feldgoise said the Trump administration took a similar approach earlier this year in a deal with MP Materials, a Nevada-based company that mines rare earth metals.

That agreement has come under scrutiny from public-interest watchdog groups amid revelations that the Department of Defense depended on a Cold War-era law to circumvent procurement and contracting laws.

A green promotional banner with black squares and rectangles forming pixels, moving in from the right. The text says: “Tech Decoded: The world’s biggest tech news in your inbox every Monday.”

Disclaimer: This post is sourced from an external website via RSS feed. We do not claim ownership of the content and are not responsible for its accuracy or views. All rights belong to the original author or publisher. We are simply sharing it for informational purposes.

Share. Facebook Twitter Pinterest LinkedIn Tumblr Email
ZamPoint
  • Website

Related Posts

Send public grievances to concerned depts quickly: CM

August 26, 2025

Scarcity of local wild fruits sees Sindhudurg produce enter Goa baazar

August 25, 2025

India To Export EVs To 100 Countries: PM Modi

August 25, 2025
Leave A Reply Cancel Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Top Stories

Send public grievances to concerned depts quickly: CM

August 26, 2025

Scarcity of local wild fruits sees Sindhudurg produce enter Goa baazar

August 25, 2025

India To Export EVs To 100 Countries: PM Modi

August 25, 2025

One song which Mohammed Rafi kept crying while singing, lyrics were written by Sahir, music was by Ravi

August 25, 2025

13 latest new movies & web series OTT releases to stream this week!

August 25, 2025
1 2 3 … 8 Next
  • Latest News
  • Popular Now
  • Gaming

Hugo Gurdon says stabbing in Germany isn’t unique due to open borders

August 26, 2025

GB Olympic team not on Wales’ radar – Mooney

August 26, 2025

Venus shines in US Open return despite 3-set loss

August 26, 2025

Teenage Mutant Ninja Turtles Trilogy 4K Blu-Ray Preorders Are 30% Off At Amazon

August 26, 2025

Hugo Gurdon says stabbing in Germany isn’t unique due to open borders

August 26, 2025

BMX Triathlon in Australia

October 18, 2021

German, France Sign Deal on Developing Future Weapons System

April 27, 2024

Olympian Rebecca Cheptegei dies days after partner set her on fire; officials highlight pattern of ‘gender-based violence’

September 5, 2024

Teenage Mutant Ninja Turtles Trilogy 4K Blu-Ray Preorders Are 30% Off At Amazon

August 26, 2025

Review: Space Adventure Cobra: The Awakening (PS5) – Nostalgic Space Romp Fires on Almost All Cylinders

August 26, 2025

Peak Bug That Left Gamers In The Cold Now Fixed, Mesa Map Is In Rotation Again

August 25, 2025

Borderlands 4 will ditch predecessor’s toilet humor, say devs

August 25, 2025
Facebook X (Twitter) Instagram Pinterest RSS
  • Home
  • About
  • Privacy Policy
  • Contact
  • Cookies Policy
  • DMCA
  • GDPR-compliant Privacy Policy
  • Terms and Conditions
© 2025 ZamPoint. Designed by Zam Publisher.

Type above and press Enter to search. Press Esc to cancel.

Powered by
...
►
Necessary cookies enable essential site features like secure log-ins and consent preference adjustments. They do not store personal data.
None
►
Functional cookies support features like content sharing on social media, collecting feedback, and enabling third-party tools.
None
►
Analytical cookies track visitor interactions, providing insights on metrics like visitor count, bounce rate, and traffic sources.
None
►
Advertisement cookies deliver personalized ads based on your previous visits and analyze the effectiveness of ad campaigns.
None
►
Unclassified cookies are cookies that we are in the process of classifying, together with the providers of individual cookies.
None
Powered by