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Trump Administration Considers Stake in Intel to Accelerate US Chip Production

Bloomberg reports indicate the government would invest in Intel’s Ohio fabs as part of a new industrial policy

Mark Cuban (left) praised Donald Trump’s (center) deal with Nvidia CEO Jensen Huang (right) requiring the company to share 15% of certain China chip sales with the U.S. government — calling it a “progressive dream” tax, even as critics raise legal and security concerns.
Intel CEO Lip-Bu Tan at the White House for a meeting with President Donald Trump
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Overview

  • Bloomberg reported that the Trump administration is in discussions to acquire an equity stake in Intel to help fund its delayed Ohio fabrication facilities.
  • Intel’s shares rose more than 7% following the Bloomberg report, reflecting investor optimism about potential federal backing.
  • Both the White House and Intel emphasized that the discussions are hypothetical and no formal agreement has been reached.
  • The proposal follows unconventional interventions such as a 15% revenue-sharing deal on Nvidia and AMD chip exports to China and the Pentagon’s equity stake in MP Materials.
  • Analysts warn that targeted government investments could spark legal and political challenges and set a precedent for expanded federal involvement in strategic industries.