Well, well, well. Look who’s suddenly interested in playing the stock market – it’s Uncle Sam himself, and he’s got his eye on Intel. Yes, that Intel. The one that’s been having about as much fun as a root canal lately.
Here’s the tea: Intel’s stock jumped 5% on Friday after Bloomberg reported that the Trump administration is seriously considering taking a stake in the company. And honestly? It’s about time someone threw Intel a lifeline, because this chip giant has been looking more like a chip crumb lately.
The Plot Twist Nobody Saw Coming
Remember just last week when Trump was basically telling Intel CEO Lip-Bu Tan to pack his bags? Yeah, that happened. Trump called Tan “highly conflicted” and demanded he resign immediately. Classic Trump move – go big or go home, right?
But apparently, a week in politics is like a decade in regular time, because now they’re suddenly best friends again. Or at least business partners. The meeting between Trump and Tan must have been quite the charm offensive.
Why This Actually Makes Sense (Sort Of)
Look, Intel isn’t just any company – it’s supposed to be America’s semiconductor champion. But while everyone else has been riding the AI wave to the moon, Intel has been… well, let’s just say they’ve been taking the scenic route.
The stock has lost almost half its value over the past five years. That’s not a typo. While NVIDIA became the cool kid everyone wants to sit with at lunch, Intel became the kid eating alone in the corner.
But here’s the thing – semiconductors are basically the new oil. You can’t run a modern economy without them, and having them made overseas is like letting your ex hold onto your Netflix password. It’s just not smart long-term.
The Government’s New Side Hustle
This isn’t even the government’s first rodeo in the “let’s buy some stocks” game. They’ve already struck deals with NVIDIA and AMD where those companies pay 15% of their China chip revenues to Uncle Sam. It’s like a tech tax, but with extra steps.
Plus, the Department of Defense is already eyeing an equity stake in MP Materials, a rare earth mining company. Apparently, the government has decided that if you can’t beat the market, join it.
What This Means for You
If the government does take a stake in Intel, it could actually be good news for the company. Government backing might give Intel the resources it needs to compete with the big boys again. Think of it as a very expensive participation trophy that might actually help them win.
For investors, this could signal that Intel’s worst days are behind it. When the government decides your company is too important to fail, that’s usually a pretty good sign for your stock price.
Of course, there’s always the risk that government involvement could slow things down – because nothing says “move fast and break things” like federal bureaucracy. But hey, at least Intel won’t be breaking alone anymore.