U.S. Bets Big on Intel’s Chips: In a dramatic government intervention, Intel confirmed it received $5.7 billion in cash on Aug. 27 as part of a U.S.-negotiated deal for a 10% stake in the company reuters.com. The investment – orchestrated by President Donald Trump – is meant to ensure Intel retains control of its contract chip manufacturing business on American soil reuters.com. Intel CFO David Zinsner said the government also secured warrants for an extra 5% stake if Intel ever spun off its foundry, but he downplayed that scenario: “I don’t think there’s a high likelihood that we would take our stake below 50%… ultimately, I would expect to expire worthless,” Zinsner noted reuters.com. The White House stressed the deal is still being finalized by the Commerce Department reuters.com, but the cash infusion – alongside Intel’s recent $2 billion stake sale to SoftBank – gives the struggling chipmaker breathing room to invest in next-gen fabs. The stake news sent a signal of government’s strategic backing as Intel races to catch up to TSMC and Samsung in advanced chips.
