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

President Donald Trump introduced Friday that the U.S. authorities can be taking a ten% stake in Intel, the struggling U.S.-based chip producer. However the president’s alternative of phrases will certainly elevate quite a lot of eyebrows, particularly for the reason that Trump regime has beforehand mentioned the federal authorities may have no company governance function 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 in regards to the deal leaked final week. However what may shock individuals is Trump’s use of the phrase “management.” No person appears to know what which means but.

“I negotiated this Cope with Lip-Bu Tan, the Extremely Revered Chief Govt Officer of the Firm. America paid nothing for these Shares, and the Shares are actually valued at roughly $11 Billion {Dollars},” Trump continued.

“This can be a nice Deal for America and, additionally, an awesome Deal for INTEL. Constructing vanguard Semiconductors and Chips, which is what INTEL does, is prime to the way forward for our Nation,” based on Trump. The president ended his submit 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 in regards to 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 function 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 again and again to the query, suggesting your complete thought was absurd. “Come on, cease that stuff. It’s not governance, proper, we’re simply what was a grant below Biden into fairness for the Trump administration, for the American individuals.”

Faber identified that some other entity proudly owning 10% would anticipate 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 received a so-called “golden share” when Japan-based Nippon Metal tried to purchase U.S. Metal, which means that Trump can doubtlessly 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 possible entails changing $10.86 billion in grants for Intel from the Biden-era CHIPS ACT into fairness, based on reporting Tuesday the New York Times.

Who really 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 Expensive Chief says it’s actual.

“BIG NEWS: America of America now owns 10% of Intel, one among our nice American know-how 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: America of America now owns 10% of Intel, one among our nice American know-how 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 submit on Fact Social nearly an hour later, at 5:04 p.m. ET, and included the declare “I negotiated this Cope with 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 resolution to this drawback” however modified his tune after the meeting.

What do the Dems say?

People 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 unbiased 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 instructed Reuters.

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

“We want a technique that protects American innovation, strengthens our workforce, and retains the applied sciences of the longer term firmly in American palms,” Warner mentioned. “Moreover, given the administration’s current method to different high-profile know-how 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 completely 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 received armed troops on the streets of D.C. and harassment campaigns in opposition to the president’s opponents—it appears unlikely that Congress will likely be deploying any checks or balances quickly.