Aug 23, 2025 | Posted by Abdul-Rahman Oladimeji
The US government has taken a 9.9 percent stake in beleaguered chipmaker and designer Intel, investing $8.9 billion in Intel, with $5.7bn coming from funds that would have been awarded through the CHIPS Act and $3.2bn from funds from the Secure Enclave program. Intel has already received $2.2bn from the CHIPS subsidies, but the claw-back and profit-sharing provisions in the subsidies will be eliminated.
“The United States paid nothing for these Shares, and the Shares are now valued at approximately $11 Billion Dollars,” President Donald Trump said on Truth Social (the US did pay for the shares, but through already-allocated chip funds that Trump previously threatened to rescind). This is a great Deal for America and, also, a great Deal for INTEL.”
President Trump said the agreement had come out of negotiations last week with Lip-Bu Tan, Intel’s CEO. I think it would be good having the United States as your partner.’ He agreed, and they’ve agreed to do it. And I think it’s a great deal for them.”
In a statement, Tan added: “As the only semiconductor company that does leading-edge logic R&D and manufacturing in the US, Intel is deeply committed to ensuring the world’s most advanced technologies are American-made.
“President Trump’s focus on US chip manufacturing is driving historic investments in a vital industry that is integral to the country’s economic and national security. We are grateful for the confidence the President and the Administration have placed in Intel, and we look forward to working to advance US technology and manufacturing leadership.”
