U.S. Government Explores Taking Stake in Intel to Boost Domestic Chip Production

The U.S. government is reportedly exploring the possibility of acquiring a stake in semiconductor titan Intel, in a move aimed at accelerating the company’s domestic manufacturing initiatives, including its long-delayed Ohio chip fabrication facility. According to Bloomberg, the potential investment would be structured to strengthen Intel’s U.S. operations, reflecting ongoing concerns about supply chain security and the strategic importance of semiconductors in national technology policy.

The discussions emerge amid heightened political scrutiny of Intel’s leadership. Just days earlier, former President Donald Trump publicly called for CEO Lip-Bu Tan to step down, citing alleged conflicts of interest, following a letter from Republican Senator Tom Cotton questioning Tan’s connections to China. While specifics of the concerns remain opaque, the scrutiny underscores the intersection of corporate governance, geopolitics, and the strategic semiconductor sector.

Tan reportedly met with administration officials on August 11 to address these concerns and explore collaborative paths forward, a meeting that Bloomberg reports sparked the talks over potential government investment. The development highlights a growing trend of state involvement in critical technology companies, as the U.S. seeks to fortify domestic chip production against global supply chain vulnerabilities and geopolitical pressures.