Trump sags Intel: the company will transfer 10 per cent of its shares to US ownership
It looks like Donald Trump's principled opponents will have to give up Intel products. A few days ago there was unofficial information that the US government may become one of the largest shareholders of the company and now Trump has confirmed it.
Here's What We Know
Intel representatives have not yet commented on the situation, but Trump told journalists that the company has agreed to transfer 10% of its shares to the US government.
This operation is a kind of compensation for the provided subsidies under the CHIPS Act programme, but it is worth noting that when they were allocated there was no question of transferring Intel's stake to the state, but Trump, in his usual manner, replayed the terms of the deal retroactively.
Apparently, to implement this idea, Trump demands immediate resignation of Intel CEO, who has been in office for only 4 months Lip-Bu Tan of links with the Chinese government and demanded his resignation, but in a few days they "made up" and the conflict was over, but now it is clear that the price of Trump's favour was the very 10% of Intel shares.
Be that as it may, the market reacted to this news by increasing the value of the company's shares, which had been plummeting for several months amid numerous problems.
It is quite possible that other chip makers receiving government subsidies under the CHIPS Act programme will be "happy" to share their shares with the Trump administration.
Source: Axios
