Intel, grappling with delays, cost cuts, and investor pressure, could soon answer to an unusual new stakeholder: the US government. According to Bloomberg, the current administration is in discussions to acquire a stake in the semiconductor giant. While no details on the size or value of the investment have been disclosed, the aim appears to be strengthening Intel’s manufacturing footprint in America. One source cautioned that the talks remain fluid.
Intel’s domestic expansion plans have faced headwinds. In 2022, the company unveiled a massive semiconductor facility project in Ohio, but progress has been slower than expected. During its latest earnings call, executives revealed they would “slow the pace” of Ohio construction, shelve certain overseas projects, and cut jobs to manage costs.
The potential ownership move also reflects a shift in Washington’s tone toward Intel. Just days after publicly calling for CEO Lip-Bu Tan’s resignation over China-related concerns, President Donald Trump met with him and appeared to soften his stance, signalling renewed support for the company’s leadership.
An Intel spokesperson told Bloomberg the firm remains “deeply committed to supporting President Trump’s efforts to strengthen US technology and manufacturing leadership” and will continue collaborating with the administration — while declining to comment directly on the stake talks.
If the deal goes ahead, it could mark a rare case of partial government ownership in a private US tech company, potentially reshaping the chip industry’s competitive and political landscape.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
