Intel, Trump
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Intel, SoftBank and US Government
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Intel is in talks with other large investors to receive an equity infusion at a discounted price, CNBC reported on Wednesday, just days after the chipmaker got a $2 billion capital injection from SoftBank Group.
An Intel deal would be one of the largest government interventions in private industry since the U.S. auto industry's bailout under President Obama.
The Trump administration wants a return on money the struggling semiconductor maker gets under the Biden-era CHIPS Act.
TheStreet. Intel has been on the hot seat with Washington, D.C., over concerns that it may be slow-walking semiconductor manufacturing plans following a shakeup that removed former CEO Pat Gelsinger and installed current CEO (and former Board of Directors member) Lip-Bu Tan earlier this year.
The industry looks very different from when Intel was the clear leader. Nvidia and AMD dominate AI and data centers, while TSMC is the dominant foundry. Intel is now cast as the underdog.
President Donald Trump on Aug. 7 called for Intel CEO Lip Bu Tan to resign, accusing him of being “highly conflicted” over reported investments in Chinese semiconductor firms. The remarks, expressed via a post on his Truth Social network,
Despite the rocky relationship between President Donald Trump and CEO Lip-Bu Tan, the government is reportedly eyeing a stake in Intel.
A week after calling Intel’s CEO “conflicted,” Trump met with him. Now the U.S. is reportedly exploring a stake in the chipmaker.