Washington: US President Donald Trump announced that the federal government has successfully acquired a 10% stake in semiconductor giant Intel without expending any funds. In a statement on Truth Social, Trump emphasized the significance of the acquisition, describing Intel as a "great American company with a brighter future."
According to Yemen News Agency, Trump revealed that the negotiations were conducted with Intel CEO Lip-Boo Tan, resulting in the United States obtaining shares valued at approximately $11 billion without financial outlay. Trump hailed the agreement as beneficial for both the government and Intel.
Earlier, Trump had disclosed in the Oval Office that Intel accepted the government's proposal, labeling it a favorable arrangement for the company. Intel confirmed in a statement that the government's investment is valued at about $8.9 billion, consisting of unpaid grants and $2.2 billion in previously provided aid, totaling just over $11 billion.
Intel CEO Tan expressed gratitude for the government's confidence in the company and emphasized the importance of collaboration to enhance the United States' technological and industrial leadership.
The acquisition aligns with the government's strategy to secure equity stakes in strategic companies in exchange for financial support. Commerce Secretary Howard Lutnick explained that the aid was sanctioned under the "Chips Act," a legislative initiative from former President Joe Biden's administration designed to bolster the domestic semiconductor manufacturing industry.