Trump Confirms US Is Seeking 10% Stake In Intel

An anonymous reader quotes a report from Ars Technica: After the Trump administration confirmed a rumor that the US is planning to buy a 10 percent stake in Intel, US Senator Bernie Sanders (I-Vt.) came forward Wednesday to voice support for the highly unusual plan, finding rare common ground with Donald Trump. According to Commerce Secretary Howard Lutnick, the plan would see the US disbursing approved CHIPS Act grants only after acquiring non-voting shares of Intel and likely other chipmakers. That would allow the US to profit off its investment in chipmakers, Lutnick suggested, and Sanders told Reuters that he agreed American taxpayers could benefit from the potential deals.

'If microchip companies make a profit from the generous grants they receive from the federal government, the taxpayers of America have a right to a reasonable return on that investment,' Sanders said. While Lutnick gave Trump credit for coming up with what White House Press Secretary Karoline Leavitt described as a 'creative idea that has never been done before' to protect US national and economic security, it appears that Lutnick is driving the initiative. 'Lutnick has been pushing the equity idea,' insiders granted anonymity previously told Reuters, 'adding that Trump likes the idea.'

So far, Intel has engaged in talks, while the Taiwan Semiconductor Manufacturing Company (TSMC) and other major CHIPS grant recipients like Samsung and Micron have yet to comment on the potential arrangement the Trump administration seems likely to pursue. They may possibly risk clawbacks of grants if such deals aren't made. On Wednesday, Taiwan Economy Minister Kuo Jyh-huei said his ministry would be consulting with TSMC soon, while noting that as yet, it's hard to 'thoroughly understand the underlying meaning' of Lutnick's public comments. So far, Lutnick has only specified that 'any potential arrangement wouldn't provide the government with voting or governance rights in Intel,' dispelling fears that the US would use its ownership stake to try to control the world's most important chipmakers. Further reading: Intel is Getting a $2 Billion Investment From SoftBank

Read more of this story at Slashdot.