The US government is taking an $8.9 billion stake in Intel
Here is a 193-word summary of the news article: The US government is taking an $8.9 billion stake in Intel, equivalent to a 9.9% equity position in the company. This deal stems from Intel CEO Lip-Bu Tan's meeting with President Trump, where Tan agreed to the government investment in exchange for $5.7 billion in previously promised CHIPS Act funding and an additional $3.2 billion from the Secure Enclave program. While the government's stake comes with voting rights, Intel states it will be a passive investment with no board representation. The company also notes the government has agreed to vote with Intel's board on most matters requiring shareholder approval. The investment is part of Intel's efforts to secure funding and stabilize its business amid production challenges with its next-generation Panther Lake chips. Intel had been slated to receive up to $10.86 billion in CHIPS Act funding, and this deal appears to be a way to ensure that funding still goes through. The Trump administration says it does not plan to seek similar equity deals with other CHIPS Act recipients, though it has made other unprecedented financial arrangements with companies like NVIDIA and AMD.
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