- SoftBank has announced an investment agreement of $ 2 billion with Intel
- The Trump administration can also be looking for an agreement
- The price of Intel shares has increased as a result of both ads
After several recent turbulent exchanges between President Trump and Intel CEO, Lip-Bu Tan, the United States government may be about to take a 10% participation in 10% in Intel Corp.
The measure would cause the United States government to become the largest Intel shareholder and provide a significant impulse to the manufacture of Intel chips, which has been left behind competitors such as NVIDIA and AMD.
The Trump administration is not the only part that seeks an Intel cut, with SoftBank Group announcing a securities purchase agreement that would see SoftBank buy Intel shares worth $ 2 billion.
Intel in demand
While plans are not yet concrete, there are rumors (by Bloomberg) That as part of the Trump Administration agreement, some of Intel’s subsidies under the 2022 United States Sciences Law could become equity.
Intel received $ 7.9 billion for national investment, and additional $ 3 billion to boost manufacturing under the legislation of the Biden era.
However, there have been no official government comments on the possible agreement with Intel.
Trump recently demanded the “immediate resignation” of the Intel CEO, accusing the tanned lips of being “enormously in conflict” due to their investments in Chinese companies. A subsequent meeting between the two saw the price of Intel shares increase by 7% after rumors of a possible agreement arose.
The SoftBank agreement saw the price of Intel shares increase in several percentage points after its ad.
The price of Intel shares has been reduced in recent years after the chips manufacturer could not capitalize on the demand of semiconductors, with the former CEO of Intel, Pat Gelsinger, was forced by the Board of Intel after a loss of confidence.
The son of Masayoshi, president and CEO of SoftBank, said: “The semiconductors are the basis of each industry. For more than 50 years, Intel has been a reliable leader in innovation. This strategic investment reflects our belief that the manufacture and supply of advanced semiconductors will expand further in the United States, with Intel who plays a critical role.”
Intel’s CEO, Lip-Bu also commented on the agreement, stating: “We are very happy to deepen our relationship with SoftBank, a company that is at the forefront of so many areas of emerging technology and innovation and shares our commitment to advance technology and leadership manufacture.
