President Donald Trump on Friday said the U.S. government had reached a deal to take a 10 percent equity stake in the chipmaker Intel, worth approximately $10 billion.
“I said, I think it would be good having the United States as your partner,” Trump said Friday at the White House. “[CEO Lip-Bu Tan] agreed, and they’ve agreed to do it.”
Commerce Secretary Howard Lutnick confirmed the deal in a post on X on Friday: “BIG NEWS: The United States of America now owns 10% of Intel, one of our great American technology companies.”
Intel posted details of the plan soon afterward, saying the administration would make an $8.9 billion investment in Intel common stock, paid for with the CHIPS grant money. The company said the stake would be funded with $5.7 billion in grants previously awarded but not yet paid, and $3.2 billion from a separate Defense Department program.
It said the Trump administration will take “passive ownership, with no Board representation or other governance or information rights.”
“We are grateful for the confidence the President and the Administration have placed in Intel, and we look forward to working to advance U.S. technology and manufacturing leadership,” Tan said in a statement.
The deal appears to rewrite the terms of the 2022 CHIPS and Science Act, under which Intel received $10.9 billion in grants to boost American chipmaking.
