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    Home » US state seeks stake in Intel
    Intel
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    Internet Governance

    US state seeks stake in Intel

    By Eva LiAugust 18, 2025No Comments2 Mins Read
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    • The US government discusses taking a significant equity position in Intel, prompting concerns over private-public boundaries in strategic industries.
    • Although details remain scarce, this move may reshape notions of corporate independence amid geopolitical tensions and taxpayer support.

    What happened: Government weighs stake in Intel

    Sources indicate that the Trump administration is exploring a government equity stake in Intel, following the summoning of Intel’s CEO, Lip-Bu Tan, to the White House after public calls for his resignation. Reports from Bloomberg, The Wall Street Journal, and the Financial Times suggest that this is not merely a bailout but could involve acquiring between 8–20 per cent of the company, based on Intel’s roughly $100 billion market cap. While the figures are speculative, they point to an expectation that the state should obtain substantial compensation for its support.

    Details on transaction structure remain vague, and the negotiations appear to be in early stages. The underlying message is that taxpayer funds should result in corresponding political or economic leverage.

    Also read: Trump criticises AT&T for conference call glitch
    Also read: Trump urges Intel boss to quit over China links

    Why it is important

    This development raises critical questions about the boundaries between government and private industry, especially in sectors deemed strategically vital. The notion of the state becoming a major shareholder in a healthy, commercially significant company like Intel disrupts traditional corporate governance paradigms. It suggests a shift towards a more transactional, coercive style of policymaking, drawing comparisons to state capitalist models.

    The implications are profound: what begins as financial support may evolve into deeper control. Intel’s independence in technological decision-making and its ability to operate globally—especially in China—could be compromised. Critics argue that placing the state in such a position creates a “Faustian pact,” offering security at the cost of autonomy.

    Intel Lip-Bu Tan Trump Administration
    Eva Li

    Eva is a community engagement specialist at BTW Media, having studied Marketing at Auckland University of Technology. Contact her at e.li@btw.media

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