The Trump administration has allocated $11.1 billion in federal grants and loans to Intel Corporation to bolster domestic semiconductor manufacturing. The financial aid, reported by the Associated Press, is structured to give the U.S. government a 10% equity stake in the chipmaker, providing taxpayers with a potential share in the company’s future financial performance.

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This substantial investment is part of a broader push to reduce reliance on foreign chip production. According to data from the IndexBox platform, the U.S. share of global semiconductor manufacturing capacity has declined significantly over the past two decades, making such federal interventions a strategic priority for securing the supply chain for critical technologies.

The deal values the government’s stake based on Intel’s recent trading price, reflecting the company’s current market valuation amidst a challenging period for the sector. This move effectively positions the U.S. government as a major shareholder, intertwining public investment with the company’s turnaround efforts.

Source: IndexBox Market Intelligence Platform