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U.S. Government Buys 10% Stake In Intel
August 22, 2025
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President Donald Trump announced on Friday, that the U.S. government has secured a 10% stake in Intel Corporation, a move he hailed as a significant victory for American industry and national security.

The deal, which involved converting $8.9 billion in previously awarded but unpaid grants from the CHIPS and Science Act and the Secure Enclave program into equity, gives the government 433.3 million shares of non-voting common stock at $20.47 per share, representing a 9.9% stake.

Trump declared on Truth Social, "The United States of America now fully owns and controls 10% of INTEL, a Great American Company that has an even more incredible future," and claimed the U.S. the shares are now valued at approximately $11 billion.

"The United States of America now fully owns and controls 10% of INTEL, a Great American Company that has an even more incredible future,” Trump wrote in a post. “I negotiated this Deal with Lip-Bu Tan, the Highly Respected Chief Executive Officer of the Company. The United States paid nothing for these Shares, and the Shares are now valued at approximately $11 Billion Dollars. This is a great Deal for America and, also, a great Deal for INTEL.”

The announcement marks a dramatic shift in the relationship between the U.S. government and a major private corporation. The deal was finalized after a series of events.

Trump had previously demanded the resignation of Intel CEO Lip-Bu Tan in early August 2025, citing alleged connections to China. However, after a meeting at the White House on August 11, Trump reportedly liked Tan and proposed the equity stake deal, which Tan agreed to.

The government's investment is funded by $5.7 billion in unpaid CHIPS Act grants and $3.2 billion from the Secure Enclave program. The government will have no board representation or governance rights, making it a passive investor.

Intel's stock rose 7% on Friday following the announcement. The government's stake was acquired at a discount to the market price, giving the U.S. an immediate paper gain.

The move is part of Trump's broader 'America first' strategy to boost domestic semiconductor. manufacturing and leverage government power to influence corporate decisions in service of national interest, including requiring Nvidia and AMD to pay a 15% commission on their sales in China for export licenses.

Trump said he hopes to replicate this deal with other critical U.S. companies. The government also holds a "golden share" with veto rights in the Nippon Steel-U.S. Steel merger and is set to become the largest shareholder in a rare earth mining company.

However some critics argue that repurposing the CHIPS and Science Act funding for the Intel stake, is an unprecedented government intervention in the private sector.

Intel has faced significant challenges, including falling behind competitors like TSMC and Nvidia in advanced chip technology, leading to a loss of over $22 billion since the end of 2023 and a recent plan to lay off 15% of its workforce.

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SpaceX Signs Deal With SINGULUS For Starmind Satellite Solar Cell Production At Texas Gigasat Facility

SpaceX has signed a major supply contract with German equipment manufacturer SINGULUS TECHNOLOGIES to build heterojunction (HJT) solar cell production lines at its Bastrop, Texas facility. The initial turnkey production line, valued at over $69 million, is scheduled for delivery in the first half of 2027.

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"SpaceX has ordered 100 GW/year of HJT solar manufacturing equipment from Singulus in Germany," Musk wrote on X. "This is for Starmind to create a sentient sun."

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All solar cell production will take place at SpaceX’s Gigasat facility in Bastrop, Texas, establishing a vertically integrated manufacturing path for the Starmind satellites.

The partnership began in March 2026, with SpaceX providing significant financial funding to SINGULUS in both March and October 2026, including through a subordinated secured loan.

While the first line is confirmed for first half of 2027, SINGULUS plans to supply multiple additional lines to meet the 100 GW annual equipment target as satellite production accelerates.

The Starmind program involves a constellation of satellites designed to carry heavy computing payloads that run AI workloads in orbit, powered by solar energy generated directly in space.

Musk clarified on X that the 100 GW/year figure refers to the capacity of the manufacturing equipment rather than the electricity generated, signaling an ambition to produce hundreds of thousands of satellites.

The solar arrays are a critical component, as they reportedly constitute most of the mass of each Starmind satellite, making domestic cell production essential for supply chain durability.

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Nvidia CEO Jensen Huang admitted to an extramarital affair with Alice Huang, a suspected Chinese spy, in a letter to staff on Sunday, prompting the company’s board to launch an independent investigation into potential national security breaches.

U.S. intelligence agencies determined that Alice Huang, an executive at a Singapore-based data center company and Nvidia customer, Megaspeed, was recruited by China’s Ministry of State Security (MSS). She allegedly engaged in a "honeypot" operation to influence Jensen Huang, who has advocated for looser AI chip export restrictions to China, and to help restricted Chinese firms acquire advanced Nvidia GPUs.

Megaspeed had reportedly purchased billions of dollars in Nvidia hardware and faced scrutiny regarding potential export control violations and whether advanced chips were being channeled into China.

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Trump confirmed on Friday that the U.S. carried out "minor" strikes on an Iranian air defense system on Qeshm Island, a crucial area for oil shipments. "....We do minor strikes..., but they built a little bit of an anti-aircraft device, and we knocked it out in about 15 minutes, maybe five," Trump told reportetrs Friday.

 

 

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