Trump administration wants the United States to be this When it comes to the main forces in AI, one way the government wants to achieve its primary position is to bring semiconductor manufacturing back to the United States
To help with this transition, President Donald Trump introduces Potential bargaining tariffs and policies In recent months, the aim is to bring more semiconductor manufacturing.
In late August, the Trump administration took an unprecedented step in converting existing government grants into existing government grants for domestic semiconductor manufacturing 10% stake in Intel.
This transaction is Aim to grant additional equity to the U.S. government If the company has its foundry business (making custom chips for international customers), it will drop to below 50% in Intel in the next five years.
But Intel is not the only semiconductor company based in the United States, nor is it the only company to produce chips overseas. So, how did Intel find itself the main role of the Trump administration’s AI-led program? Let’s take a look.
Chip context
First, some history: In March 2021, Intel spent $20 billion on building two new chip manufacturing plants in Arizona.
A year later, the company announced Intent to obtain tower semiconductorsa company in the custom foundry industry, sold for $5.4 billion, but did not pay any money due to regulatory issues, the two companies Merger cancelled August 2023.
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Intel Foundry has been working hard to gain momentum since then and there are rumors that the business is Can’t attract big customers on board.
Then in 2024, then-CEO Pat Gelsinger announced that Intel was taking steps Transitioning Intel Foundry to Independent Subsidiaries. This is because board members call for the entire demolition of the department, even as the company deals with slowing growth, lower costs and massive layoffs.
In November 2024, there was a clear highlight as the company reached an agreement with the U.S. government $7.86 billion in federal grant Through the 2022 bargaining chips and scientific methods, we aim to promote domestic semiconductor manufacturing.
Then, Gelsinger suddenly retires December 2024.
Lip-bu Tan’s return
Intel announces former board members Lip-bu tan will rejoin the company’s CEO In early March. Tan Leave It is Non-core unitand Apparently trimmed Its labor force.
In July, the company said it was Reduce some manufacturing projectsincluding it Ohio has laid $28 billion manufacturing plant.
A few weeks later, the Trump administration knocked on the door.
Republican Senator Tom Cotton on August 6 Rhythm design systemaccording to Bloomberg’s report. According to Bloomberg, Cadence is accused of violating U.S. export controls to China and has sold the technology to a Chinese military school. Tan has been at the helm of Cadence for more than a decade.
The next day, August 7, Trump demands The tan resigned immediately, accusing the CEO of being “highly conflicted” despite the president’s failure to provide any evidence.
The following week, Tan traveled to Washington, D.C. to meet with Trump to discuss the administration and Intel The U.S. government may be considering Intel’s equity Not long after.
On March 18, SoftBank said it was investing Intel $2 billion. Four days later, the U.S. government announced a deal with Intel.
this Transaction assurance Intel received a grant that has been awarded, which the Trump administration claims will be a passive investor and will vote with Intel’s interests. But will this actually help Intel?
