Summary
The U.S. government will acquire a 10% stake in the chipmaker Intel as part of an agreement announced by President Donald Trump. The deal aims to support Intel's business turnaround efforts and follows a significant investment from SoftBank. The official announcement of this investment is anticipated soon.
Key Facts
- President Donald Trump announced a 10% U.S. government stake in Intel.
- Intel has been facing business challenges, including a $18.8 billion loss reported in 2024.
- SoftBank recently invested $2 billion into Intel, signaling confidence in the company.
- Federal backing is expected to help Intel revive its foundry (manufacturing) business.
- The move is part of a broader U.S. strategy to boost domestic chip production.
- Senators Bernie Sanders and Elizabeth Warren advocated for the U.S. Treasury to get a stake in companies receiving government grants.
- The investment is part of efforts to decrease reliance on Asian chip manufacturing.
- A formal announcement about the investment is coming soon.
