Trump Administration Clarifies Equity Demands for CHIPS Act Recipients
Aug 22, 2025
The Trump administration has clarified its approach to taking equity stakes in semiconductor companies that receive funds from the 2022 CHIPS Act. According to officials, the administration is not considering requiring equity stakes from major companies that are significantly increasing their investments in the United States, such as Taiwan Semiconductor Manufacturing Company (TSMC) and Micron.
Instead, the administration is focusing on potentially taking stakes in other companies that receive government support from the CHIPS Act. This move is not expected to affect large industry leaders like TSMC and Micron, who have shown strong commitments to expanding their operations in the U.S.
The approach to Intel differs, as the company may still be required to offer equity in exchange for CHIPS Act funding. The decision is part of the government's effort to strengthen domestic semiconductor manufacturing and ensure the U.S. remains competitive in this crucial industry.
What is the CHIPS Act?
The CHIPS Act is a U.S. law passed in 2022 to provide funding and support for domestic semiconductor manufacturing.
Which companies might need to give equity to the government?
Companies other than major investors like TSMC and Micron may be required to give equity in exchange for CHIPS Act funding. Intel may be one such company.
Why is the government considering taking equity stakes?
The aim is to strengthen U.S. semiconductor production and ensure government investment supports national interests.
Sources
How Trump Will Decide Which Chips Act Companies Must Give Up Equity
WSJ
WSJ
Administration isn't eyeing equity in semiconductor companies that are increasing U.S. investment like TSMC and Micron, but may take stakes in others.
Trump administration is not eyeing equity in TSMC, Micron, official says
Reuters
Reuters
WASHINGTON, Aug 21 (Reuters) - The Trump administration is considering taking equity stakes in companies getting funds from the 2022 CHIPS Act but has no similar plans for bigger firms boosting U.S. investments, such as TSMC and Micron, a White House official told Reuters.
Intel's New Buyers Mean Good News for Taiwan Semiconductor Stock
MarketBeat
MarketBeat
News is starting to show up again for the United States technology sector, this time in a more unconventional manner than over the past couple of years. The United States government and other entities are starting to buy up significant stakes in one company, which is best positioned to carry on the...
TSMC Won't Be Forced to Give a Stake to the U.S. Where That Leaves Intel.
Barrons
Barrons
The Trump administration is backing away from suggestions it could take a stake in TSMC, despite its plans to demand shares in Intel.
Trump Administration Says It's Not Looking to Take Stakes in TSMC, Micron
Investopedia
Investopedia
Unlike Intel (INTC), Taiwan Semiconductor Manufacturing Company (TSM) and Micron (MU) may not be required to give up stakes in exchange for their CHIPS Act grants, following some signs of pushback in early talks.
Trump poised to unveil Intel deal for equity stake on Friday, Bloomberg News rep...
Reuters
Reuters
The Trump administration and Intel are poised to announce details of an agreement to give the U.S. government an equity stake in the troubled chipmaker on Friday, Bloomberg News reported, citing people familiar with the plan.
The Donald Trump Administration Is Pondering Equity Stakes in Intel, TSMC, Micro...
The Motley Fool
The Motley Fool
In the seven months since President Donald Trump's inauguration, Wall Street's major stock indexes have been taken on quite the ride.
Related Posts
Other News
Corporate Moves
View All
Amazon May End US Postal Service Partnership to Expand Own Delivery Network
11 hours ago
AMZN
-1.41%
Amazon is reportedly considering ending its long-running contract with the United States Postal Service (USPS). This change would allow Amazon to rely more on its own growing nationwide delivery netwo...
Meta to Make Deep Cuts to Metaverse Budget as AI Becomes Priority
14 hours ago
META
+3.43%
Meta Platforms CEO Mark Zuckerberg plans to significantly cut spending on the company's metaverse efforts, according to reports from Bloomberg News. The expected budget cuts could be as much as 30% fo...
Meta Hires Apple Design Executive Alan Dye to Lead New Creative Studio
Dec 4, 2025
AAPL
-1.21%
META
+3.43%
Meta Platforms has hired Alan Dye, who was Apple's head of user interface design for the past decade. Dye is leaving Apple to lead a new creative studio within Meta's Reality Labs division.
The new s...
Product Launches
View All
Amazon Unveils New AI Chips and Tools to Boost Cloud Capabilities
Dec 2, 2025
AMZN
-1.41%
Amazon Web Services (AWS) has introduced new artificial intelligence (AI) chips and software tools aimed at improving the performance and reliability of its cloud computing services.
A key highlight...
Samsung Launches World’s First Triple-Folding Smartphone, the Galaxy Z TriFold
Dec 2, 2025
005930
+2.33%
Samsung Electronics has unveiled its first multi-folding smartphone, the Galaxy Z TriFold. This new device folds inward twice, creating a three-panel design with a large 10-inch inner display.
The la...
Amazon and Google Launch Joint Multicloud Networking Service
Dec 1, 2025
GOOGL
-0.63%
AMZN
-1.41%
Amazon and Google have announced a new multicloud networking service to improve connectivity between their cloud platforms. This jointly developed solution is designed to provide businesses with a fas...
Regulatory Actions
View All
New York Times Sues Pentagon Over Restrictive Press Rules
10 hours ago
NYT
-0.25%
The New York Times has filed a lawsuit against the U.S. Department of Defense and Defense Secretary Pete Hegseth over new press rules at the Pentagon. The newspaper claims that the new policy restrict...
EU Launches Antitrust Investigation into Meta’s Use of AI in WhatsApp
19 hours ago
META
+3.43%
The European Union has started an antitrust investigation into Meta Platforms, the company that owns WhatsApp, over its use of artificial intelligence (AI) features within the messaging app.
EU regul...
Costco Sues U.S. Government to Recover Tariff Payments Imposed Under Trump Administration
Dec 2, 2025
COST
-2.86%
Costco has filed a lawsuit against the U.S. government, seeking to recover tariffs it paid on imported goods under orders made by former President Donald Trump. The case focuses on tariffs enacted und...
Earnings
View All
Rubrik Shares Surge After Better-Than-Expected Q3 Fiscal 2026 Results
7 hours ago
RBRK
-1.37%
Rubrik, Inc. (NYSE: RBRK) reported its financial results for the third quarter of fiscal year 2026, ending October 31, 2025. The company announced record net new subscription annual recurring revenue...
Samsara Reports Strong Q3 Results with First Profit, Stock Reaction Mixed
7 hours ago
IOT
+4.36%
Samsara Inc. (NYSE: IOT), a company specializing in connected operations platforms, announced strong financial results for the third quarter of fiscal year 2026.
The company reported $416 million in...
HPE Reports Strong Q4 Profits but Sees Lower Revenue Ahead
8 hours ago
HPE
+2.88%
Hewlett Packard Enterprise (HPE) reported its financial results for the fourth quarter of fiscal 2025, ending October 31. The company delivered profitable growth and completed its acquisition of Junip...
Stock Movements
View All
D-Wave Quantum Stock Experiences Volatility Amid Valuation Concerns and Industry Advances
1 hour ago
QBTS
+14.55%
D-Wave Quantum (QBTS) stock has recently faced significant fluctuations. Over the past 21 trading days, the stock declined by about 24.2%, drawing attention to concerns over the company's high valuati...
SoFi Announces $1.5 Billion Public Offering, Stock Falls Over 6%
2 hours ago
SOFI
+1.82%
SoFi Technologies, a financial technology company, has launched a public offering to sell $1.5 billion worth of its common stock. The company priced 54,545,454 shares at $27.50 each. All of the shares...
Nvidia Gains as AI Chip Demand Rises and Export Challenges Ease
16 hours ago
NVDA
+2.11%
Nvidia's stock price rose after reports that the company has won a political battle involving restrictions on AI chip exports. Nvidia has faced uncertainty due to potential limits on selling its advan...
Economy
View All
ADP Report: Private Sector Lost 32,000 Jobs in November, Wages Up 4.4% Over Year
Dec 3, 2025
According to the November ADP National Employment Report, private sector employment in the United States decreased by 32,000 jobs. This data was compiled by ADP Research in collaboration with the Stan...
Nvidia's AI Chip Leadership Spurs Industry Growth and Component Shortages
Dec 2, 2025
NVDA
+2.11%
Nvidia, a leader in artificial intelligence (AI) chips, continues to drive strong growth in the technology sector. The company has seen high demand for its graphics processing units (GPUs), particular...
Cyber Monday Online Sales in US Expected to Reach $14.2 Billion, UK Shoppers Spend $5 Billion Over Black Friday Weekend
Dec 2, 2025
Adobe Analytics forecasts that U.S. shoppers will spend $14.2 billion online during Cyber Monday. This prediction comes as many consumers continue to look for discounts and promotions while managing t...
Analyst Ratings
View All
‘Big Short’ Investor Michael Burry Calls Tesla ‘Ridiculously Overvalued’
Dec 1, 2025
TSLA
+1.74%
Michael Burry, the investor known for predicting the 2008 financial crisis, has criticized Tesla's stock valuation. In a recent blog post, Burry described Elon Musk's electric car company as 'ridiculo...
Carvana Stock Upgraded by Wedbush, Price Target Raised to $400
Nov 24, 2025
CVNA
+0.97%
Carvana, an online used car retailer, saw its stock rise over 7% on Monday after analysts at Wedbush Securities upgraded the stock from 'Neutral' to 'Outperform.'
Wedbush analysts raised their 12-mon...
Dell Stock Falls After Morgan Stanley Downgrade Over Memory Chip Costs
Nov 17, 2025
DELL
+4.01%
Dell Technologies shares dropped by about 7% to $124.44 after Morgan Stanley downgraded the stock from 'overweight' to 'underweight' and lowered its price target to $110. The downgrade reflects concer...
Mergers & Acquisitions
View All
Hims & Hers Expands Into Canada After Acquiring Digital Health Platform Livewell
10 hours ago
HIMS
+7.96%
Hims & Hers Health, a leading US digital health company, has officially expanded its services into Canada. This move follows its recent acquisition of Livewell, a Canadian digital health platform know...
Netflix Leads Bidding War for Warner Bros. Discovery Amid Investor Concerns
16 hours ago
NFLX
-0.71%
WBD
-0.12%
Warner Bros. Discovery, the company behind HBO and CNN, is currently considering offers from multiple companies, including Netflix, Comcast, and Paramount. According to reports, Warner Bros. prefers N...
Marvell Technology to Acquire Celestial AI in Multi-Billion-Dollar Deal
Dec 2, 2025
MRVL
-2%
Marvell Technology has announced it will acquire Celestial AI, a startup specializing in photonic chip technology, in a cash-and-stock deal valued at over $5 billion. This agreement marks a significan...
IPO
View All
Navan Raises $923 Million in IPO Amid US Government Shutdown
Oct 30, 2025
NAVN
-6.92%
Navan, a business travel and expense management company, has completed its initial public offering (IPO) by selling 36,924,406 shares of its Class A common stock at $25 per share. The IPO raised appro...
Beta Technologies Launches IPO, Aiming to Raise Up to $825 Million
Oct 16, 2025
BETA
+1.15%
Beta Technologies, a company that makes electric aircraft, has set the terms for its initial public offering (IPO) in the United States.
The company plans to offer 25 million shares of its Class A co...
Fermi Shares Surge After High-Profile IPO Despite Lack of Revenue
Oct 2, 2025
FRMI
+8.53%
Fermi Inc., a start-up focused on building large data centers for artificial intelligence, saw its stock price soar following its initial public offerings on both the Nasdaq in New York and the London...
