Trump Claims Intel Will Hand Over 10% Stake to U.S.
Intel is at the center of a headline deal. President Trump says the United States will take a 10 percent stake worth about 10 billion dollars. He says Intel agreed to convert past grants into shares, with no board seat for the government.
The claim came on August 22, 2025. Traders moved fast, and the stock market reacted with a sharp jump in Intel shares. Intel has not issued a full comment yet.
Intel 10% stake: what was announced
The White House says the stake equals about one tenth of Intel. The value sits near 10 billion dollars based on recent prices. The shares would be nonvoting, and there is no plan for a board seat.
Officials say the stake comes from grants tied to the 2022 Chips and Science Act. The plan converts cash Intel received into equity. That shift would make the United States a large shareholder.
Key numbers at a glance
- Stake size: about 10 percent.
- Estimated value: about 10 billion dollars.
- Voting rights: none, and no board seat.
- Stock market move: shares rose after the news.
Intel funding that feeds the equity swap
Intel secured up to 7.865 billion dollars for factory projects in Arizona, New Mexico, Ohio, and Oregon. That award was finalized late in 2024. A separate Defense award adds up to 3 billion dollars.
By early 2025, Intel had received about 2.2 billion dollars of those funds. Payments arrive in steps when work hits milestones. That pace helps explain the size of the planned swap.
The money behind the deal

Why this matters for Intel and the stock market
A stake from Washington adds fresh capital support. It also signals closer ties between national policy and a key chip maker. That mix can sway the stock market, since policy risk and support both move prices.
Private money is watching as well. SoftBank agreed to invest 2 billion dollars in Intel this week. That vote of confidence arrived as the stake talks heated up.
How this compares to past rescues
This is among the largest federal moves in an industrial giant since the auto rescue. Treasury has said that effort helped prevent the loss of over one million jobs. The scale here is smaller, but the approach is bold.
Back then, the government took shares and later sold them. Here, officials say they want no control. The plan centers on support for chip plants on United States soil.
What could happen next for Intel
Terms need to be written in plain detail. Investors will look for the exact share class, lockups, and any limits on future moves. Intel’s response will shape market trust.
Policy signals also matter. Officials have said they do not plan similar stakes in other large chip firms that are already investing heavily in the United States. That line may steady the broader chip trade.
What traders are watching in the stock market
- Final documents, including exact share terms.
- Any time line for grant‑to‑equity conversion.
- Intel updates on factory progress in four states.
- Further private money after the SoftBank deal.
- Signals on whether this stays a one off move.
Risks and safeguards to note
The state as a shareholder adds policy risk and support at once. Nonvoting shares lower control concerns, yet the tie remains close. Shareholders will track any strings linked to jobs or plant time lines.
Legal pushback could emerge if prior terms shift. Reports suggest companies outside Intel may not face the same ask, which could limit broader fallout. Markets like clear rules.
Final thoughts
This move puts Intel at the heart of United States industry policy. It also places Intel at the center of the stock market story on chips. We will watch the final terms and how both sides set clear guardrails.
FAQs
No. Officials say the shares are nonvoting and come with no board seat.
It maps to about 10 percent of Intel at recent prices. It also lines up with grants set to convert.
About 2.2 billion dollars has been paid so far, in milestone steps.
Commerce set up to 7.865 billion dollars for plants, and Defense set up to 3 billion dollars.
Officials have said they are not seeking stakes in some major firms. Each case will depend on investment plans at home.
Disclaimer:
This is for informational purposes only and does not constitute financial advice. Always do your research.