Trump Secures 10% U.S. Stake in Intel to Revive Struggling Tech Giant

On August 22, 2025, former US President Donald Trump made an announcement that created a stir in the global technical and economic world. He announced that the US government has acquired a 10% stake in a major American chip manufacturer called Intel. This move can not only breathe new life into the US semiconductor industry, but can also bring a big change in the race for technological dominance globally.

Trump’s historic claim

Donald Trump wrote on his social media platform ‘Truth Social’, “It is my great honor that the United States now fully controls 10% of Intel. This is a great American company with a great future. I negotiated and finalized this deal with the company’s respected CEO Lip-Bu Tan.” He claimed that the current value of these shares is around $11 billion, while the US government did not pay anything for it. According to Trump, this deal will prove to be extremely beneficial for both America and Intel.

Story behind the deal

This deal has come at a time when Intel is facing severe financial pressure. The company was looking for government assistance to set up new chip plants in the US. The government had already agreed to give Intel a grant of about $10 billion under the ‘CHIPS Act’. Interestingly, this amount is equal to the estimated value of the US stake.

Trump said Tuesday that he met with Intel CEO Lip-Boo Tan on August 11. Till a few weeks back, he was terming Tan as someone who is very close to Chinese one by one. He said,

“I told them that the US should get 10% of Intel. I said it would be good for you to have a US partner, and they accepted it.”

Intel and US tech ambitions

This investment is not just a business deal, but also part of the US tech strategy. Semiconductor technology has become an important pillar of the global economy and the growing influence of countries like China in this field has worried US policymakers.

US Commerce Secretary Howard Lutnick described the deal as “historic”, saying,

“This move will strengthen America’s semiconductor leadership, boost our economy and ensure technological superiority.”

At the same time, this deal is one of the many unique agreements that the Trump administration has worked on recently. These include steps such as Nvidia giving the US government a 15% sales stake in exchange for selling AI chips to China and the Pentagon taking a stake in a small mining company to increase rare earth mineral production.

Criticism and political controversy

While Trump’s supporters are calling it a big win for America, critics are seeing it as excessive government interference in the corporate sector. Democratic Senator Mark Warner expressed concern over this and said, “Whether taking an equity stake in Intel may be the right move or not is a different issue. But it is clear that if we allow the sale of cutting-edge chips to China without any restrictions, the value of any investment made here will be reduced. Congress should thoroughly review such deals to ensure that there is no conflict or unnecessary interference in the private sector.”

Conclusion

The US government taking a 10% stake in Intel can be an important step towards strengthening America’s technological dominance. This deal will not only give America economic benefits but can also give it an edge in the global technological competition. However, its political, economic and international effects will be assessed in the times to come. It will be interesting to see if this strategy can keep the US at the forefront of the semiconductor sector or if it will lead to controversy.

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