By STEPHEN M. LEPORE, US SENIOR REPORTER
Donald Trump confirmed that Intel has agreed to sell off 10 percent of the company to the US government in an $8.9billion investment that the president says will cost Americans nothing.
The largest chip manufacturer in the US has been in talks with Washington over a potential government stake in the company.
Trump has been concerned with Intel’s future as it bleeds money under new CEO Lip-Bu Tan and America’s reliance on TSCM, a chip manufacturer in Taiwan.
The president announced the deal on Truth Social Friday evening.
‘It is my Great Honor to report that the United States of America now fully owns and controls 10% of INTEL, a Great American Company that has an even more incredible future,’ he said.
‘I negotiated this Deal with Lip-Bu Tan, the Highly Respected Chief Executive Officer of the Company. The United States paid nothing for these Shares, and the Shares are now valued at approximately $11 Billion Dollars.
‘This is a great Deal for America and, also, a great Deal for INTEL. Building leading edge Semiconductors and Chips, which is what INTEL does, is fundamental to the future of our Nation. MAKE AMERICA GREAT AGAIN! Thank you for your attention to this matter.’
Intel revealed that the deal has been funded using the remaining $5.7 billion in grants previously awarded, but not yet paid, to Intel under the U.S. CHIPS and Science Act and $3.2 billion awarded to the company as part of the Secure Enclave program, all passed under Joe Biden.