U.S. Authorities Now ‘Controls’ 10% of Intel, Trump Says

President Donald Trump introduced Friday that the U.S. authorities could be taking a ten% stake in Intel, the struggling U.S.-based chip producer. However the president’s selection of phrases will certainly elevate quite a lot of eyebrows, particularly because the Trump regime has beforehand mentioned the federal authorities may have no company governance position on the tech firm.

“It’s my Nice Honor to report that the USA of America now absolutely owns and controls 10% of INTEL, a Nice American Firm that has an much more unbelievable future,” Trump wrote on Truth Social.

The federal government taking a ten% possession stake in Intel shouldn’t be stunning, as rumors concerning the deal leaked final week. However what would possibly shock folks is Trump’s use of the phrase “management.” No one appears to know what meaning but.

“I negotiated this Take care of Lip-Bu Tan, the Extremely Revered Chief Government Officer of the Firm. The US paid nothing for these Shares, and the Shares at the moment are valued at roughly $11 Billion {Dollars},” Trump continued.

“This can be a nice Deal for America and, additionally, an amazing Deal for INTEL. Constructing forefront Semiconductors and Chips, which is what INTEL does, is key to the way forward for our Nation,” in response to Trump. The president ended his publish with the now-customary, “MAKE AMERICA GREAT AGAIN!” and “Thanks in your consideration to this matter.”

Lutnick’s denials on Tuesday

Commerce Secretary Howard Lutnick was requested concerning the plans for a authorities stake in Intel throughout an interview with CNBC on Tuesday. Lutnick was particularly quizzed whether or not the federal government would get a governance position at Intel, one thing the Commerce Secretary insisted wouldn’t occur.

“Do you get governance right here?” CNBC host David Faber requested.

“No, no, no, no, no…” Lutnick mentioned time and again to the query, suggesting your entire thought was absurd. “Come on, cease that stuff. It’s not governance, proper, we’re simply what was a grant beneath Biden into fairness for the Trump administration, for the American folks.”

Faber identified that every other entity proudly owning 10% would count on to have a say in how that firm was run. “Why wouldn’t you need some…” Faber began to say earlier than Lutnick drowned him out by repeatedly saying “non-voting, non-voting.”

Faber famous that the U.S. authorities bought a so-called “golden share” when Japan-based Nippon Metal tried to purchase U.S. Metal, which means that Trump can probably veto company choices he doesn’t like. It’s unclear at this level what sort of affect Trump can have at Intel with this new 10% stake, which probably entails changing $10.86 billion in grants for Intel from the Biden-era CHIPS ACT into fairness, in response to reporting Tuesday the New York Times.

Who truly negotiated the deal?

Lutnick was the primary to interrupt the information on social media in a tweet shortly earlier than Trump, although the Commerce Secretary’s announcement clearly carries much less weight in an more and more authoritarian nation just like the U.S. It’s not actual till Pricey Chief says it’s actual.

“BIG NEWS: The US of America now owns 10% of Intel, one in every of our nice American expertise firms. This historic settlement strengthens U.S. management in semiconductors, which can each develop our economic system and assist safe America’s technological edge,” Lutnick wrote.

BIG NEWS: The US of America now owns 10% of Intel, one in every of our nice American expertise firms.

This historic settlement strengthens U.S. management in semiconductors, which can each develop our economic system and assist safe America’s technological edge.

Due to Intel… pic.twitter.com/AYMuX14Rgi

— Howard Lutnick (@howardlutnick) August 22, 2025

Lutnick’s tweet was despatched at 4:10 p.m. ET and included a photograph of him with Intel CEO Lip Bu-Tan. That presumably irked Trump, who despatched his personal publish on Fact Social virtually an hour later, at 5:04 p.m. ET, and included the declare “I negotiated this Take care of Lip-Bu Tan” within the second sentence.

Trump reportedly met with Tan final week after the president known as for the Intel CEO’s resignation over alleged hyperlinks to China. Trump insisted there was “no different answer to this downside” however modified his tune after the meeting.

What do the Dems say?

Of us on the left have been divided on whether or not Trump’s plan for Intel is an efficient one for America. Sen. Bernie Sanders, an impartial from Vermont who caucuses with the Democrats, mentioned earlier this week that he helps the plan for the U.S. authorities to take an fairness stake.

“If microchip firms make a revenue from the beneficiant grants they obtain from the federal authorities, the taxpayers of America have a proper to an inexpensive return on that funding,” Sanders advised Reuters.

However Sen. Mark Warner, a Democrat from Virginia, wouldn’t commit so emphatically a method or one other. In an e mail to Gizmodo, Warner mentioned taking an fairness stake “could or might not be the suitable strategy,” whereas emphasizing that cutting-edge chips mustn’t “move to China with out restraint” if that undercuts investments made within the U.S.

“We’d like a technique that protects American innovation, strengthens our workforce, and retains the applied sciences of the longer term firmly in American arms,” Warner mentioned. “Moreover, given the administration’s latest strategy to different high-profile expertise transactions, Congress should apply thorough scrutiny for potential conflicts of curiosity or undue interference in private-sector choices unrelated to nationwide safety.”

Intel is a drop within the ocean

Warner is totally proper that Congress must look into any conflicts of curiosity or “undue interference” on personal firms. However given the present trajectory of the U.S.—the place we’ve bought armed troops on the streets of D.C. and harassment campaigns in opposition to the president’s opponents—it appears unlikely that Congress might be deploying any checks or balances quickly.