Why does the United States government take a stake in Intel?

Trump administration wants to be the United States the The dominant force when it comes to artificial intelligence, and the way the administration hopes to achieve precedence is to re -manufacture semiconductors to the United States

To help with this transition, President Donald Trump presented Specific definitions and policies of chips In recent months, it aims to bring more semiconductor manufacturing.

In late August, the Trump administration took an unprecedented step towards this goal when a government grant, dedicated to the manufacture of semiconductors, has turned to a. 10 % property rights share in Intel.

This deal was A regulator to grant the United States government additional royal rights In Intel if the company’s ownership of its causative work – which makes chips for international customers – decreases to less than 50 % over the next five years.

But INTEL is not the US -based semiconductor company, nor the only company that makes its chips abroad. So, how did Intel find herself as a major figure in the Trump administration plans to dominate artificial intelligence? Let’s take a look.

Chip

First, some date: In March 2021, INTEL launched its causative work in addition to adhering to spending 20 billion dollars to build two new factors for the manufacture of chips in Arizona.

A year later, the company announced An intention to obtain semiconductor tone connectorsA company in the customback industry, for $ 5.4 billion, but that did not come out due to organizational problems and companies I cancel the merger In August 2023.

Since then, Intel Foundry has struggled to gain momentum and there have been rumors that business He was not able to get senior clients on board.

In 2024, CEO PAT Gelsiner announced at the time that Intel was taking steps to Transition Intel Foundry to an independent subsidiary. This came as the members of the Board of Directors called for the unit to take place completely even with the company struggle with slowing down, cost reductions, and the layoffs of the massive workers.

In November 2024, there was a noticeable bright point as the company reached an agreement with the United States government 7.86 billion dollars in federal scholarships Through the Freedom and Science Act 2022, it aims to increase the manufacture of semiconductor local conductors.

then, Gilgger suddenly retired In December 2024.

Tan’s lips return

Intel announced that the former board member The lips will join the company as an executive president In early March. Tan obtained the right to work with a possible transformation plan that focused on re -focusing the company, shed that it Fountain UnitsAnd Pruning workforce.

In July, the company said it was Simling some of its own manufacturing projectsIncluding Indeed, a manufacturer of $ 28 billion in Ohio.

A few weeks later, the Trump administration came up.

On August 6, Republican Senator Tom Couton formulated a message to Intel’s board of directors, and asked about Tan’s relations with China, including his relationship with Rhythm design systemsAccording to Submit reports from Bloomberg. The rhythm was accused of violating the US export controls to China, according to Bloomberg, and sold the technology of a military school in China. Tan was at the head of the rhythm for more than a decade.

The next day, August 7, Trump student Tan resigned immediately, accusing the CEO of being “very conflicting”, although the president did not provide any evidence.

The following week, Tan went to Washington, DC, to meet with Trump to discuss the ways that the government and Intel could work together to achieve the goals of the administration represented The US government may consider a share in Intel.

On August 18, Softbank said he was investing 2 billion dollars in Intel. Four days later, the United States government announced a deal with Intel.

the It guarantees the deal Intel gets the scholarship funds that have already been granted, and the Trump administration claims it will be a negative investor who will vote alongside Intel. But will this actually help Intel?

What will happen after that is a little clear.