Against the example of the U.S. Government taking a 10% stake in Intel, a private technology company who manufactures microchips, Commerce Secretary Howard Lutnick outlines the parameters where the Trump administration would consider taking a stake in private sector companies.
Secretary Lutnick notes that when a company comes to the U.S. government for assistance or benefit, the government -ultimately the taxpayer- should gain an equity stake in that company. WATCH:
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Posted in Banking and Finance, Big Government, Donald Trump, Economy, President Trump, Trade Deal, Uncategorized, Wall Street
I absolutely agree with this. Taxpayers SHOULD get something for their money 😀
My hubby disagrees with me, but I am right 😉
It makes sense as long as it is not abused by a future administration. These crooks get their hands on every extra penny and spend it. See Social Security. MUST BE strong safeguards that the profits are not wasted/raided.
Agreed! It is definitely a slippery slope.
You are right and unfortunately it’s inevitable so it’s not a good idea to take equity stake unless it’s sold by statute by a certain date or once the stock reaches a certain price. Look at what our government gets away with vis a vis twitter and other social media just because it is the regulator.
Well, plugs did drain the SPR, I personally would like DOGE to find out where the money went. Your first sentence speaks volumes.
That’s the issue here.
We were all lied to about social security being in a lock box.
I don’t see how we can trust any future Congress to protect us, they are all liars and cheats, just some more than others.
SS funds have been part of general revenue for decades.
Some folks were actually around & even awake before that happened.
Apparently they still have a fully functioning memory too.
Always were. It was “proven” at the SC to be a “tax,” thus there was no compulsion to put in the imaginary “lock box.”
FDR was the initial liar; congresses thereafter have followed suit.
lol. there is one thing you can bet on and you’ll never lose. it will be abused.
It could be abused just as the government student loan system has been politicized. Definitely need to wall-off the ability to scam the system. We have had taxpayer money lent to ‘green’ companies only to have them declare bankruptcy shortly after.
I’m of the mindset that big corporations have been abusing the taxpayers, gosh, almost like countries taking advantage of gracious ( prior ) U S. trade policies….stock
“tariffs” might just be the answer.
Give the Democrats an opportunity to exploit and they will not only exploit it, but weaponize it.
You cannot trust them with anything. PERIOD.
I don’t agree with the gubmint owning any part of anything or giving taxpayers money to private businesses for any reason.
If they’re going to do the latter anyway & they’re concerned about taxpayers well-being, make it a loan at the prevailing interest rate with a term. Not ownership, not a grant, not a gift, not a subsidy, a loan. Repayment goes back to the treasury.
Only issue there is, what if they are “too big to fail”? Government crooks always find a way to fill their pockets.
But so far this is the best answer of the bunch.
Nailed it. Absolutely on target 🎯!
The problem is it will be abused. That’s an absolute certainty. This is a bad idea.
<My hubby disagrees with me, but I am right>
Mrs. Wordman says that all the time 🙂
Formally declaring the democrat party and their RINO enablers as a domestic terrorist organization (which they obviously are) would go a long way to solve the slippery slope problem.
so would nuking DC
To much fallout. Napalm.
95+% of the people who live in DC have nothing at all to do with how the federal government operates.
So nuking DC would be incinerating hundreds of thousands of American citizens just because they live near the federal government buildings.
We need a plan that doesn’t kill innocent civilians.
🫠😆😅
but it never works out that way. the way it ends up is that the services become an excuse on why they have to take your property.
Actually, I think it’s a lot better that taxpayers keep their money!!! Intel should rise or fail on it’s own merits and where knowledgeable investors decide to put their money. Anything else is folly.
Much of the advanced tech came from initial govt ( that’s us ) funded programs, -;space, military, etc. We own that patent, yet we gave it to private corporations, and further subsidized much of it’s development by private enterprise. Explain to me just why we the taxpayer should not get a return on that investment? The system abuse there is big monied interest laughing all the way to the bank.
Market prediction probabilities are generally more accurate then intuition….
The markets will always do what they do, exercise financial freedom.
Listen to your hubby for a change! What makes you think you will get more from this than all the taxes you pay? there was a time that the IRS couldn’t possibly tax more than 7%! and only filthy rich would ever have to pay taxes. No way middle class blue collar folks would ever have to pay.
Companies are free to choose not to accept grant money or subsidies from the federal gov’t and not be partially owned by the federal gov’t.
but the federal government should not be free to grant money or subsidies.
This ^
That’s a nice company ya got there… be a shame if something were to happen to it, wouldn’t it? Of course, for a small stake in the company, say, 10% we’ll help make sure there’s no issues. We’ll even buy that stake since it’s just taxpayer money anyway.
Yeah right,big money is gonna run scared of their paid for politicians and us taxpayers. We’re talking Corporations here,not mom & pop stores.
That’s how it starts. It’s not how it ends.
Remember a “stake” includes a downside – liability if the company makes a rotten product or commits crimes and is sued and/or goes bankrupt.
Choosing which companies to assist as well as acquire a 10% stake in require good business acumen. President Trump & his economic advisors have that skillset, but no president / administration in the past has demonstrated such skills.
It probably should be an additional requirement going forward, but probably won’t be. We must be careful that we don’t build in a feature that may or will likely be abused or badly bungled by a future Administration.
What you have described is exactly what is going to happen. Not maybe, but definitely. Terrible idea.
Ues, terrible idea.
🎯🔒’ed. Everybody knows this.
Best way to stop the grift
Regarding Intel:
’The equity taken is non-voting and thus non-governance. Further, the funds came from the Biden-era CHIPS act, so no, Trump didn’t get the money from Congress to do this either; Biden did and was handing it out “no strings attached and the people and their tax burden doesn’t benefit” which sounds a lot like a scheme to force me and everyone else in the country to pay for construction of someone else’s stuff, with us getting no benefit from it.’ The Market Ticker
“Non-voting equity at least puts the capacity of the taxpayer to profit from the investment on the table; should the value of that investment rise the taxpayer benefits and if the government requires the revenue the investment can be turned back into money by selling the stake. Yes, being non-voting equity it is entirely passive so there might be a discount to the open market ordinary equity price but we already have multiple-class shares allowed on public exchanges and in fact plenty of firms have that sort of structure where the board members and other executives have wildly-superior (and in some cases essentially unitary) voting rights.
I fail the see the problem or how this adds up to the Administration exerting “control” over corporate America.
Unless, of course, the opposing view is that government’s job is to take your money as a taxpayer and just shower it on preferred people with no capacity for you to benefit from the enhanced profitability, if any, that doing so generates.
That opposing view sounds a lot like armed robbery to me and, while this approach isn’t perfect, it at least takes some or most of the “robbery” component out since the taxpayer now obtains something of value, doesn’t it?” The Market Ticker
government does not invest. it wastes and pillages. someones getting screwed before the end of this and the rich will squeal and squirm away from harm, 19 chances out of 20 it will be us, per usual.
This was monies already authorized by Congress via the ‘CHIPS act’. So instead of just giving it away with NO strings attached, at least this Administration has some EQUITY in the transaction. With the ‘hope’ of some future benefit to the taxpayers via rising value of said investment or at the very least selling the stake. If you want government completely out of this sort of business, STOP Congress, who holds the purse strings, from passing legislation such as the so-called CHIPS act and other legislation that attempts to determine business winners and losers………
The US government is buying Intel common stock. It is voting stock but Lutnick is promising the US will not exercise those votes or will only vote aligned with Intel’s board’s recommendations.
The deal includes a “poison pill” type provision if Intel ever divests itself of its foundry/manufacturing business.
https://d1io3yog0oux5.cloudfront.net/_bfef62b2bffb520062b861149f40e4fa/intel/news/2025-08-22_Intel_and_Trump_Administration_Reach_Historic_1748.pdf
Under the terms of today’s announcement, the government agrees to purchase 433.3 million primary shares of Intel common stock at a price of $20.47 per share, equivalent to a 9.9 percent stake in the company. This investment provides American taxpayers with a discount to the current market price while enabling the U.S. and existing shareholders to benefit from Intel’s long-term business success.
The government’s investment in Intel will be a passive ownership, with no Board representation or other governance or information rights. The government also agrees to vote with the Company’s Board of Directors on matters requiring shareholder approval, with limited exceptions.
The government will receive a five-year warrant, at $20 per share for an additional five percent of Intel common shares, exercisable only if Intel ceases to own at least 51% of the foundry business.
The existing claw-back and profit-sharing provisions associated with the government’s previously dispersed $2.2 billion grant to Intel under the CHIPS Act will be eliminated to create permanency of capital as the company advances its U.S. investment plans.
I don’t think this is a good idea and I don’t want the government taking a a stake in any company. I also don’t want a private company seeking assistance from the government.
Why? If it is all out in the open, and there is no conflict of interest, what is magic about “government?” Government is a business, it is a public business. Every City, County, public utility, state, and federal entity should be run with the idea that they are accountable to the investors. Every governmental entity inserts itself into business and takes their “share” in the form of a tax. I am looking for the ethical and legal answer.
Will the government give their 10% companies a competitive edge in bidding for government contracts? Likely.
So as an equity owner, the government has incentive to prioritize equity interest over other competitors, workers, etc.
I don’t like being partners with the unlearned and deceitful
What is the definition of “all” & with the demoncrap propensity to redefine the language what will the definition be later?
FYI Intel is not seeking any private assistance or receiving taxpayer monies. This move was taken to protect industries essential to our national security and prevent hostile takeovers by our avowed enemies (China and the such). Since the US is a prominent member of the board as an investor the US benefits from the dividends (money) generated by our investment.
Protecting national interests is the only reason this might be legitimately considered, but there’s almost certainly better ways to do it with less potential for fascist future abuse.
Assuming that it’s successful
Remember Chrysler? This is not new.
right on. the government should not be allowed to own any property.
Agree. Where in the constitution does it say the government can buy into a private company?
This will be abused by democrats in the future. There are other ways to encourage industry like tax breaks.
What we need is a balanced budget amendment. We are at peace, no declared war and should be living within our means and paying down the debt.
If we could only trust those grifters known as our U.S. Congress…
Unless Intel has some bleeding edge tech in their fabs, say 2nm, then they are behind TSMC by quite a bit.
Also, didn’t they get some $$BILLIONS from CHIPS act a few years back?
Enough to build new fabs in the Phoenix area?
That company has been a hive of arrogance for many, many years and now they come for a handout from US!!
I’ll say up front, this will not work out well.
I recall Andy Grove, back when Intel was in its golden age, opining that it cost nearly an extra Billion dollars to build a fab in the US then, because of all the overbearing regulation compliance costs. They were still building the fabs here then, but the writing was on the wall even then.
I can only imagine that the compliance red tape under Barry and Poopypants has gotten much worse since.
Which is a big reason that why no matter how much tax breaks and other subsidies the Government dangles, they claw it all back with their excessive regulations. It is still usually cheaper to build the facility elsewhere.
That is one area where PDJT is doing God’s work; massive common sense deregulation is just as important as an even tariff field to get these industries to build and stay in the USA.
It shouldn’t cost an extra Billion Dollars in “compliance costs” to build a major industrial facility in the US.
There’s “building a fab”, but there’s also the tech knowledge to fab at the cutting edge node size. It remains to be seen if it’s better for Intel to be “fab-less” like AMD.
I believe the (around 3?) billions they received from CHIPS in the past has been re-capitalized as stock ownership. Then they will get an additional 2 billion. This is tax money (or really deficit-financed by gov’t debt issues) that will show up on the fed balance sheet as an asset.
“…then they are behind TSMC by quite a bit.”
That’s the whole point. About ten years ago Intel had THE leading-edge semiconductor technology in their own fabs. Intel had taken the technology lead from IBM. IBM had taken over from Texas Instruments as the leader (and originator) of integrated circuit fabrication. All three were US companies with factories in the US. Then one by one they allowed their lead to slip away.
Now leadership has gone offshore to Taiwan. Taiwan has subsidized their tech industry for decades.
Mainland China is determined to take the lead, either with their own businesses or by invading Taiwan. China has a massive government effort to subsidize their own strategic industries, to steal technology, to bribe executives and politicians, and to undercut other nations’ companies to weaken them.
If the US wants to retain a high-tech economy and a high-tech defense it needs high-tech manufacturing companies, (not just software to run on somebody else’s hardware.)
The UK used to have a big tech industry. There’s very little left of it today. Same with France. Same with Germany.
It’s a critical sector but needs innovative leadership to turn it around to be competitive with Asian companies.
At least with Trump vs BO and GM, they won’t be restructured to be stupid liberals.
Brings up the thought, yes, this is a critical sector, and if we were ever able to get the full information, am pretty sure the foundation/platforms for Facebook, Google, and probably a few other big name technology outfits were/are in truth federal government operations that originated as critical infrastructure for national safeguarding, and those outfits are pubic faces for the continuation of those endeavors –
with the face of individuals such as a Zuckerberg or a Musk and the predecessor twitter owner – faces to hide the true ownership of a few agencies within our government.
The above just personal ponderings.
So, perhaps this open approach is a shortcut to end the hidden financings?
We really don’t know the true story, as the more I listen to Mr. Lutnick speak, the more I realize, he really is a very good salesman and the buyers may never really know just what it is they are buying, until too late; so am back to trusty orange man mode until the gift of hindsight sets in.
I know of one case of patent theft by our government. https://aim4truth.org/2025/05/15/leader-technologies-patent-theft-government-confiscation-miller-act-notice-and-the-free-press-fund/
This is not that far removed from the Chrysler bailout during the Carter era. If not a securities interest, obtaining secured and priority creditor status on the assets is not a bad move. It depends on the nature of the industry and the assets.
While Iacocca was able to manage the turnaround (and the minivan concept is what did it), there were so many Government hooks into them that Chrysler satisfied the obligations ahead of schedule to get rid of them.
But I think what motivated that bailout more than the autoworker and supplier losses of a bankruptcy was that Chrysler was also a major defense contractor during that era, and that military production capacity was at risk. So there was a strategic element there.
I don’t have a problem with limited secured Government assistance to a strategically significant industry to the nation, provided it doesn’t creep into nationalization or crony capitalism, where taxpayer funds are ultimately laundered to political ends and allies.
More like Obama’s use of Bush 43 TARP money to bail out bankrupt GM. Created “New GM” to avoid liabilities and took $6.5 billion in a new issue of preferred stock. All the same arguments put forth.
Then the BO government forgave the something like $65M in loans. At that time that was serious money. It’s all play money now with the Fed continuously creating money out of thin air.
Crooks & Krooks Incorporated!!
Perfect!!
Agree! We already live in a corporatocracy given the decades long structure of corporate lobbyists controlling our government.
May be time to burn the candle from the other end to see which side burns down during the flame fight.
I guess 2025 was the year where “we are from the government, and we are here to help” became cool and hip with MAGA.
My strong beliefs around small government are probably too woke for folks around here.
“We are from the government, and we are here to help”.
Yup. That’s what ICE now says, as they toss the criminal illegals in the vans.
Unfortunately, if the current trend continues, the deportations during the term will equal around 1 million or 10% of those admitted by Biden.
no, im with you. this is not going to turn out well.
to be fair, i dont think trump ever ran on small government, though.
No free rides. If a company wants financial assistance from the tax payer, its all out in the open and you are accountable to the public supporters. It is do difference than selling shares in or through the stock market. The recipients of these funds always think its “free” money! It’s not, and it should never be viewed that way. We have wasted so much on similar interests, and the recipients walk away without accountability when it goes into the black hole of the corporate write off!
I really don’t care how Lutnick is trying to put lipstick on this pig — the Federal government has no business whatsoever owning shares of any private sector business, company, or entity.
Full stop.
It’s bad enough that taxpayer $$$ have been used to “bail out” companies — the auto companies after the 2008 crash come to mind.
But actually owning shares of any company by the government. 100% unacceptable.
QED
Utter nonsense…. Our economy requires Government investment to grow industry when no other willing party is willing to invest in the USA. There are many other industries downstream from the chip manufacturers that also need the financial injections to grow industry here.
Government “investment” is Socialism 😎
You sound like Mamdani 🙀
“Government investment” is an oxymoron.
That’s why we need industrial policy and five year plans. Gov’t always knows best.
Agree 100%
The United States Federal Government where total corruption is now a permanent part of the operating structure taking an interest in any publicly held company is a terrible idea.
Trump has 3+ years left, and no matter what, the congress will leverage this relationship for individual gain.
We used to call this fascism or communism.
The illusion of the free market system is dead, however there is no good reason to continue following the Chinese model.
Trump wanting to import 600,000 Chinese students and now this.
💯
Uh … no on general principle. The government should not morph itself into an investment bank.
It’s bad enough that the economy has been financialized. Don’t do it to the government. It will be only a matter of time before the company comes back to the government, hand outstretched, with the story that the government will lose the stake it already has unless it antes up MORE taxpayer money. Good money after bad.
If they absolutely positively HAVE to invest in private companies, I would rather see them take subordinated debt, so at the very least they could do a Leon Black/Appollo on them. Bankrupt the company, wipe out equity, pay all the other creditors in full with company assets, then walk away with 100%of the equity of the remaining operations debt free. They could then sell that in a public offering, much like the government sold off companies seized during WW2 after the war was over.
Subordinated debt, not equity.
this is not MAGA!! THIS is not smaller government!!
One thing this President won’t be accused of is being taken for a ride.
If you’re on the America First bus, you pay the fare.
Under pretty much every other political leader, in every other country, it’s the taxpayers money that is strategically spent without direct returns. Only the highly competent business and political leader, PDJT could such a financial windfall become reality.
God bless him, the people and the USA 🇺🇸
My gut tells me this is a bad idea. Logical in theory but loaded with unintended consequences in practice.
To look at the issue another way, imagine if this had been attempted with Pfizer, Moderna, and J&J in mid 2020.
Love Lutnick. He explains in exquisite detail why Trump’s actions are fair to us AND them! I and also most Treepers know this. And he kills me with his great attitude. Most of Trump’s aide’s have FU money and don’t give a damn when media tries to trip them up or make talking points for the media. This guy was trying to be fair and was a decent guy.
Can bills/laws be originated in the Senate, or do they need a House member to begin the process?
Asking because am pretty sure Senator Rand Paul will be wrangling a bill to stop any future such arrangements.
I can accept the current explanation of both Howard Lutnick’s and President Trump’s reasoning for this one particular arrangement given that it was an unencumbered grant to Intel asking for nothing in return, so this arrangement asking for a 10% state in the company with non-voting shares –
if such an arrangement were made where the nation recovered both principal and a reasonable interest after which the 10% reverted unencumbered to the company, that I could agree with;
that said, this is a nasty slippery slope toward full blown communism the Democrats will pick up and run with next time they hold majorities in both houses plus the Executive branch.
Would love different perspectives, given this is so unusual for something out of D.C.
Only spending bills need to originate in House.
That’s true insofar as one follows the rules.
More than once the Senate has stripped the language out of a bill already passed by the House, and replaced it with new spending measures. Really violates the principle of it, even if it is a technicality that the named bill originated in the House.
Subsequently, the bifurcated bill has to go to reconciliation, resulting in further political sausage-making.
Lutnick, while Chairman and CEO of Cantor Fitzgerald, sat on the board of Satellogic whose mission statement is “to democratize access to geospatial data through its information platform of high-resolution images and analytics” to help solve the world’s most pressing problems” of which they list “climate change, energy supply, and food security.” Other Satellogic documentation reveals that by “democratize,” they mean expand satellite surveillance from the public sector (i.e. governments and security agencies) into the private sector. Due to their “patented Earth imaging technology,” Satellogic “unlocks the power of EO” to deliver “high-quality, planetary insights” at “the lowest cost in the industry.”
The stated mission of Satellogic is to privatize and monopolize Earth Observation in the form of satellite surveillance sold as a service to both the public and private sectors. Palantir, a private sector intelligence firm led by PayPal founder Peter Thiel and created with CIA funds to replace a controversial DARPA mass surveillance and data-mining program, committed to a five year strategic partnership wth Satellogic. Satellogic’s partnership with Palantir enables its “government and commercial customers”, which include the CIA and J.P. Morgan, access to Satellogic’s Aleph platform APIs to feed raw satellite imagery to Palantir’s MetaConstellation and Edge AI.
Lutnick is another version of BlackRock’s Larry Fink and is from the Wall Street world that supports using corporations like Satellogic and Palantir for surveillance that government is prohibited from doing. INTEL chips are an integral part of the tools used by IC.
Government owning part of them regardless of what Lutnick says smacks of corporatism which has a shady history. I don’t trust Lutnick and as the saying goes ignore what they say watch what they do. Especially when dealing with politicians and corporate executives. Government ownership of companies can be abused by the people in government.
“Government owning part of them regardless of what Lutnick says smacks of corporatism which has a shady history. “
Corporatism , aka Fascism.
(BTW, great info)
What if “the gov’t company” isn’t doing as well affecting the return to the taxpayer? Does the gov’t lean in with a relaxation of regulations for them, or some other preferential treatment, to the detriment of other companies in the same arena?
The government should not hold a financial interest in any private entity as long as the government has any ability to regulate or otherwise impact that entities success/failure.
Bingo. Thank you.
Won’t matter if
1) We don’t reign in private equity- the robber barons of the 21st century
2) We continue to import 600K CCP competitors into our universities every year (insanity)
Main Street not Wall Street keep your eye on the prize Mr. President
The investment firms like Blackrock and Vanguard should not be able to vote the shares of stock. The stock is owned by the individual investors NOT Blackrock and Vanguard. Either the investors should vote the percentage of shares that Vanguard holds or the shares go unvoted. Blackrock and their ilk need to butt out of trying to run companies. Fink never made anything and knows nothing about truly running a business that makes something. That would prevent guys like Fink pushing DEI or other nonsense that takes away from making money
The Big investment managers, big banks, and big corporations need to be broken up. Anything big needs to be splintered for innovation sake. The Federal Government still needs a HUGE FORCE REDUCTION.
I have another example of something that is sticking in my craw. We had planes almost falling out of the sky due to “air turbulence”……… Then all of a sudden mother nature does away with air turbulence. Something tells me it was a Boeing problem or problems……. Have to hide it for the public’s own good. Boeing is too big and needs to be broken up. The “financial leadership” forgot how to make airplanes. The beauty and strength of capitalism is continuous creative destruction. You do not get that with these monster corporations.
Boeing did what every large corporation did in the name of profiteering.
They outsourced their engineering, manufacturing and their quality to cheap foreign labor.
They became nothing more than a token assembly operation.
“Intel is a dog.”
The “grants” should match stock received. Kinda like rare earth for billions spent overseas. This concept of assets for grants
would never been considered by plugs, or
lightbringer. Both NEVER created wealth.
He suggested in the cabinet meeting that Universities that receive funding for research will have to share royalties from patents with the govt.
👎🏻👎🏻👎🏻👎🏻👎🏻
Ooh, the NIH vaccine royalties scheme on a government wide basis. What could possibly go wrong?
In the 60’s and 70′ the Japanese government held an interest in their electronics industry. They regulated the automotive industry so that Japanese vehicles each included hundreds of electronic components that did nothing but build profit for the electronics industry. Then the Japanese government subsidized the auto industry on the backs of the Japanese people.
What could possibly go wrong?
I’m not sure I trust this guy. Wanting 600,000 Chinese students in this country is suicide. It isn’t the Chinese people it’s their government. There’s not one Chinese student who isn’t subject to on demand spying for the CCP with their families used as hostages. This is pure idiocy and I don’t care how this is packaged by President Trump.
This is doubling the number currently here and the CCP has almost the same weapons and air systems we have through theft of knowledge. There’s no way to keep track of these students in the lax university system labs.
I think Ludnick is behind this but that’s just my opinion.
I certainly understand the reluctance/concern by some on the right about this action (government intrusion/involvement). I won’t include the left into this since their rationale for objecting to anything PDJT implements is from a position of “oxygen thief” & not some well thought out & reasonable hypothesis.
All this said, I’m in favor of this for several of the reasons already mentioned by others on this thread i.e. free taxpayer bail-outs for corporations; no equity return for the taxpayer; many corporations receive tax breaks & grants for expansion & again continue to make record profits with no real return to the tax payer who is funding these items; etc…
What I would really like to see moving forward in order to prevent future bad actors (uniparty), is that congress enacts a law stating that these types of transactions will ensure government will remain a passive, non-voting partner and that dividends from our (the peoples) stake in business will be returned directly to American taxpayers in the form of a direct annual payment. Alaska did something similar with the energy companies where every taxpayer in the state would receive dividend checks from these corporations drilling on their lands. This would ensure that any future party would not use the future monies as a slush fund for nefarious pork barrel projects or politically motivated programs/organizations.
Somehow, the COUNTRY should be the deciders if, when and how the asset is repaid by the company. This notion of “Don’t you worry; we’ll take care of everything” during the Obama Era educated us to the thieving ways of ALL politicians!
It should be Voting Shares, with representation at the shareholders meetings and no sp3cial exceptions like Intel got.
The only parameter should be “don’t do it.”
Y’all need to read “The Chip Wars.” 90% of computer chips are manufactured in Asia with the best being in Taiwan and South Korea. Want to know why we invest so heavily in protecting Taiwan? Our military defense systems are 100% dependent upon chips from Taiwan. Intel lost their chip foundry edge over a decade ago. All of the foreign chip companies are partially funded by their governments. It’s the kind of manufacturing that takes large scale investment, mad levels of investment. Watch China take over Taiwan and how quickly the US military is out of critical chip components to restock and rearm. We’d better win quickly in that scenario.
Now, in my opinion, we need to incentivize TSMC to build foundries in the US and build their capacity here or nearby. I don’t think Intel has the leadership to compete with TSMC.
0biden GAVE INTEL $11 billion of WeThePeople money…just gave it to them for nothing….we should get pd back. They took…we get.
No one rides for free
Still makes me uncomfortable. Cronyism. Socialism. Too much involvement btwn govt and big biz. But im a simpleton here. Maybe theres safeguards.
If a Republican Administration takes 10% ownership of a private company what is to prevent a future Democrat Administration from taking a 20, 30, 50, 70, 90, 100% ownership of a whole lot of private companies?
If a Republican Administration takes 10% ownership of a private company what is to prevent a future Democrat Administration from taking a 20, 30, 50, 70, 90, 100% ownership of a whole lot of private companies?
It would be hard to tell them they didn’t have the moral green light.
And just who would be running that above 10% of Intel? Graduated students from China ?
Going out on a limb here – and I’m reasonably confident – Democrats will atomize everything that’s been enacted since January 20, 2025 in one EO. They are going to wash their hands clean from this administration.
I think you are safe fron Democrats taking a larger ownership of things. And remember… that is a MAGA principle now.
The merger of Corporate and State is called…..?
Hint1: Mussolini first coined the term!
Hint2: Starts with F
Free enterprise ?
That starts with an F, but somehow I don’t think that is what you were thinking of.
Fascism should more properly be called corporatism because it is the merger of state and corporate power.
Anti-individualistic , the Fascist conception of life stresses the importance of the State and accepts the individual only in so far as his interests coincide with those of the State The Fascist conception of the State is all embracing; outside of it no human nor spiritual values can exist, much less have value .
Gentile, Mussolini “A Doctrine of Fascism”
Just who is the biggest Marxist?
Lutnick or Mamdani ?
Back in April I posted this,
VoteAllIncumbantsOut
April 7, 2025 4:52 pm
The EU will be going into a depression and so plan for war with Russia to get underway. NATO is loading up troops in Lithuania. Europe needs to default as the push for their digital currency is nearing its birth. Capital Controls is what they will do. This is why Gold came to our shores. The Smart money knows what’s coming!
You will have a once in a lifetime chance to invest in our markets. I’m hoping to get a response from Secretary Howard Lutnick regarding a letter I recently sent his way. I’ll keep you all posted although I’m not holding my breath.
I respect President Trump and wish him the best during our rebirth!
To date, I’ve heard nothing from Secretary Lutnick but I’ll give you an idea. It had everything to do with the little guy having a chance to invest in US corporations through a “Debt for Equity” swap. Very well laid out I must say. Maybe I’ll share someday.
Who is President Trump’s least best appointment?
I cast one vote for Howard Lutnick
Agree.
I liked him at first until be came up with paying the 5 million to get an illegal in….now this…
Getting government more enmeshed in our lives.
These big government people need to go.
Am done with him.
At the very least the taxpayer piggy bank should be paid back for any corporate bailout funding.. I’m not sure a stake in the company is the right direction. However, it’s a lot better than the current offerings..
“Secretary Lutnick notes that when a company comes to the U.S. government for assistance or benefit, the government -ultimately the taxpayer- should gain an equity stake in that company. “
I’m am trying my best to decide whether that makes me think more of fascism or communism. Seems a little more like fascism, but it’s almost a toss up. If only Milton Freeman were still alive, he could probably tell us. Maybe we could ask VDH.
Milton Friedman never liked the idea of government becoming involved in private businesses because the businesses would control the government. Unfortunately, It’s exactly what we have today. Our politicians are corrupted to the core and everything they do is to convince their constituents that it’s the boogeyman’s fault, never theirs. It’s how they get elected.
China, Russia, Iran, etc, along with the Drug Cartels, Terrorists or whatever else they can convince the people of, is their go to boogeymen. History never changes because humans never change. If you think something is new, history will prove otherwise.
In 1863, the Banking Act was established, look it up and read it. Then look up “Stablecoin” recently passed into law. We ALWAYS repeat!
What has been will be again, what has been done will be done again; there is nothing new under the sun.
Ecclesiastes 1
Trump promised No Socialism.
This is pure Socialism = the social ownership of property.
Fascism = the merger of State and Corporate power.
Very disappointed and more than a little frightened.
Do not worry.
It’s always darkest right before it goes pitch black.
What happens when the camel gets his nose under the tent?
Um, no. When a private company asks for the government for assistance, the only proper answer should be “No, that it not the government’s role.” This has elements of economic fascism and communism both.
Sounds nice in theory but this exactly how the UK and French Governments ended up holding the bag after the “equity stakes” they owned went bad in what were tech companies of the day … especially … UK (Vickers, BAe, Westlands and several smaller electronics companies) …. France (GIAT, Thompson, Dassault and others).
It turned in to a big goat rope over company management, management of shares, LEGAL Liabilities, etc. A 10% equity position is akin to a voting ownership position …. ownership creep is a real danger that WILL occur and this is how the UK and French Governments were burned.
Then there is the specter of CONTRACT Bidding for Federal money .. how can the US Government own an equity share in anything and then claim to to not run a biased biding process. FOR Example: I have first hand experience bidding against DoD software factories … all sorts of bidding rules and legal clauses were waived for factories while my employer had to COMPLY. Then there were issues with labor and overhead rates that the Factories were able waive.
I am not in favor of this move … BIG IF …. Tax dollars are used it becomes a LOAN of some sort. This is a ZERO risk and ZERO legal Liability option unless the company was in really bad shape and loan principle is lost.
Fortunately that’s not how the law works. Government ownership is 51% stakeholder or sits on the board and in this case, neither has occurred.
This is from the 1939 public salary tax act,
Sec. 207. No collection of any tax (including interest, additions to tax, and penalties) imposed by any State, Territory, possession or local taxing authority on the compensation, received before January 1, 1939, for personal service as an officer or employee of the United States or any agency or instrumentality thereof which is exempt from Federal income taxation and, if a corporate agency or instrumentality, is one (a) a majority of the stock of which is owned by or on behalf of the United States, or (b) the power to appoint or select a majority of the board of directors of which is exerciseable by or on behalf of the United States, shall be made after the date of the enactment of this Act.
We are talking ownership, ownership equity positions, liabilities, controlling interests not salaries and taxes.
This law is N/A.
And 51% is exactly where the UK and French Governments ended up, when they got burned. The ownership stake kept creeping UPWARD as successive Governments saw opportunity or the need to control …. THAT IS THE POINT.
OWNERSHIP Equity is normally considered to start at about 3-5% level of stoke holdings by the way … it does not have to be 51%. This US Government is in a liability position at 10%.
Also, does ownership level equity make the US Government liable and at risk legally and financially??
The US Government cannot claim impartiality when it comes to bidding, taxes, abatement’s, et al.
This is one of those things that seems like a good idea, but will turn out to be terrible.
It shouldn’t take the UniParty more than about 8 years to turn this into a liberty destroying, money laundering grift.
Is this not just another way of “taxing the rich corporations” – but this way voluntary. Liberal heads must be ‘splodin’.
“While Lutnick denies that his policies are socialist, the proposal to take equity stakes in major corporations like Intel and potentially defense contractors such as Lockheed has led to accusations of “corporate socialism” from both conservative and liberal commentators.
Sen. Rand Paul (R-Ky.) called the deal a “step toward socialism,” and Sen. Thom Tillis (R-N.C.) expressed discomfort, saying it feels like a move toward a “semi state-owned enterprise a la CCCP”
Some liberals, including Sen. Bernie Sanders (I-Vt.), have supported the Intel deal, arguing taxpayers deserve a return on subsidies. Thus, while Lutnick is not ideologically aligned with socialism, his economic policies have sparked significant debate over their alignment with socialist principles.”
As Bernie Sanders supports it, that should good enough for us, right ???
Who knew that MAGA and Bernie Sanders would be philosophical partners with something?
You should hear 90s democrats talking about immigration LOL…
Government is the problem…not the solution.
It needs to be finding its way out of our lives….not deeper into it.
Isn’t this a sticky wicket. The great corporatists will have government looking over their shoulders. What could go wrong? Lets see we needed the patriot act to keep us all safe. Keep government out of corporations, this is the first step to a controlled economy. Instead of doing this fix or close the Post Office and Amtrak.
I still cannot get over government forcing banks to loan money on homes to people that could not afford them and then forced the banks to give them the loans with no money down. I look at China now and the mess the CCP has made is most likely unfixable.
I look at Cracker Barrel. A woke mess and I can go out and eat microwaved meat loaf. No doubt they will start making us wash our own dishes before we leave. I already do my own check out at the grocery store. Check my own bag at the airlines? Enter my own orders online……..Maybe I will keep my job of doing all that.
Precedent could be Chrysler in the 80s. Different circumstances, but similar government do something like this.
Also, I read that the government stocks are regular, not preferred and those stocks would vote the “recommendation” of the board.