In an unprecedented move to foster national semiconductor production, the U.S. government has attained a 10% equity stake in Intel Corporation.
Intel is an American multinational technology company known for designing, manufacturing, and selling computer components such as central processing units (CPUs) and related products for business and consumer markets.
On August 23, 2025, Commerce Secretary Howard Lutnick announced this landmark agreement, which was legally bound by the U.S. CHIPS and Science Act, enacted by the 117th United States Congress.
Taking to X (formerly known as Twitter), he wrote, “The United States of America now owns 10% of Intel, one of our great American technology companies. This historic agreement strengthens U.S. leadership in semiconductors, which will both grow our economy and help secure America’s technological edge.”
This decision marks a significant shift in U.S. industrial policy, with the government taking a direct financial position in a private company.
The deal includes the investment of $8.9 billion in Intel common stock.
As reported by the company's representatives, $5.7 billion of this sum converts previously awarded, but not yet paid, grants from the CHIPS and Science Act into equity.
An additional $3.2 billion comes from separate government awards for the manufacture of secure chips.
The deal was signed at a discount, giving the U.S. government a 10% stake without receiving a board seat or governance rights.
Earlier, President Donald Trump called it a “great deal for them,” referring to both the nation and Intel.
Following this announcement, the shares of Intel Corporation rose over 5%.
CEO of the company, Lip-Bu Tan shared his views as, “Just met with President Trump to announce a historic agreement: the U.S. government is investing $8.9B in Intel to boost American semiconductor leadership.”
“I’m excited about the work ahead to ensure the most advanced silicon technology and computing products of the future are designed and built right here in the USA,” he stated.