US Government Weighs 10% Stake in Intel

The government may convert CHIPS Act grants into equity to gain a 10% stake in the chipmaker.

The US government is in discussions to potentially take a partial ownership stake in Intel, according to an Aug. 18 report by Bloomberg. The deal could help accelerate the construction of Intel’s long-delayed semiconductor manufacturing plant in Ohio.

Trump met with Intel CEO Lip-Bu Tan last week, after calling for his resignation just days earlier.

What is the proposed deal between the government and Intel?

The Trump administration may take a stake in Intel by converting some or all of the $10.9 billion allotted to Intel under the Biden-era US Chips and Science Act, Bloomberg said. Some or all of the grants could be converted into equity. That money would cover about 10% ownership in the chipmaker. Under the CHIPS act, Intel also has access to $11 ...