4 days ago
Trump administration in talks to take Intel stake, Bloomberg reports
The US media outlet Bloomberg says the administration of President Donald Trump is in talks with Intel Corp. to have the government take a stake in the struggling chipmaker.
Bloomberg published the report on Thursday, quoting people familiar with the plan.
The Trump administration apparently aims to boost domestic chip production by supporting the delayed construction of Intel's planned factory hub in the Midwest state of Ohio.
Bloomberg said the size of the potential stake is not clear. It also said the details are still being worked out and the plans remain fluid.
Intel has fallen behind in the development of chips for artificial intelligence. It posted a large operating loss last year and faces the challenge of turning its business around.
Chip giants Nvidia and AMD have reportedly agreed to pay the US government 15 percent of their revenues from chip sales in China as part of an arrangement to secure export licenses.
Bloomberg describes the talks with Intel as "the latest direct intervention by Trump into a key industry."
