- The US government is expected to acquire 10% of Intels in exchange for 433 million shares
- But Intel is worried about Trump’s “substantial additional powers” on foreign affairs
- Trump rented the agreement to make the United States “richer” and to create more jobs
The next ownership of the American government could have effects on how intel deals with foreign customers and governments in the future, which could be amplified by unpredictable commercial and tariff policies of Trump, admitted the company.
The US government is expected to acquire a 10% stake in Intel thanks to a mixture of subsidies and financing the unpaid chip law in a total value of approximately $ 8.9 billion in total.
In exchange, Intel will give 433 million actions to the government, worth 10 to 11 billion dollars.
Intel could be affected by its American property
The delicate part is in the form of foreign companies, because approximately 76% of income from the 2024 Intel fiscal year came from abroad, with popular markets, notably China, Singapore and Taiwan.
Being belonging to part by the United States government means that Intel could be exposed to foreign grant laws, additional regulations, prosecution, political examination and a repression of competitors who could seriously hinder its foreign sales.
“The US government as an important action authority of the company could submit the company to additional regulations, obligations or restrictions, such as laws on foreign subsidies or otherwise, in other countries,” Intel wrote in a dry file.
Intel has also noted that the interests of the United States government may not reflect those of its existing shareholders and that its “additional substantial powers” could prevent it from pursuing “potential future strategic transactions” for the benefit of shareholders.
President Trump praised the agreement, saying that he did $ 11 billion US dollars at zero cost. “I paid zero for Intel, it is worth about 11 billion dollars. Everything is going to the United States,” he wrote on Truth Social Media.
The message explains how Intel’s stock prices could increase while the United States would become “richer and richer”. Trump also noted that the agreement would generate “more jobs for America !!!”
“It is difficult to predict all the potential consequences,” concluded Intel.
Intel’s latest quarterly income remained stable from year to year at $ 12.9 billion, under the direction of the new CEO LIP-BU TAN.
