US government wants a stake in Samsung in exchange for grants for chip production

As part of the CHIPS Act, the US government has allocated billions of dollars in grants to companies that are moving semiconductor production to the US. The recipients include Samsung, Intel, Micron, TSMC, and others. But now the government has started to put forward an additional condition.

What the US government is offering

The US administration does not want to spend huge amounts of money without being able to gain additional control over these companies. The White House is considering taking a stake in companies that receive grants. This means that the government could own a small percentage of such giants as Intel and Samsung. US Secretary of Commerce Howard Lutnick is already negotiating a 10% stake in Intel. Samsung has received a $4.74 billion grant, but most of the funds have not yet been disbursed.

Samsung has not yet commented on the situation. As the company is strategically important for South Korea, the government of this country may have its own position on US participation in the company, which generates a significant part of their state budget. This is a matter of national security, which makes it more sensitive.