Yet another Trump - LBT meeting
- Thread starter blueone
- Start date
Intel gains after a favorable post from Trump
Intel continued its strong 2026 start by rising early Friday, following a favorable online post from President Trump, whose administration partially nationalized the ailing American chip giant in August.In a Truth Social post Thursday afternoon, he praised CEO Lip-Bu Tan, boasted about the amount of money the government’s 10% investment in the company has made, and said, “Our Country is determined to bring leading edge Chip Manufacturing back to America, and that is exactly what is happening!!!”
Intel stock rises after Trump touts 'very successful' CEO, applauds government's investment
Even after adjusting for the Trumpian tendency toward hyperbole, that last comment will be intriguing to Intel watchers. The company’s search to make deals with external customers willing to use its next-generation contract chip manufacturing business, crucial to the future of Intel’s ailing foundry business, will likely be a key driver of the stock price this year.
It’s not nuts to think that having the US government as a shareholder and the president as an active cheerleader — especially one who’s not shy about putting pressure on private sector companies to get what he wants — could be helpful in corralling reticent foundry customers.
Intel is up roughly 16% year to date and has more than doubled over the last year.
Elon Musk and Trump was interesting. Lip-Bu is a very experienced international businessman. Hopefully the conversation will be fruitful and get foundry customers motivated. I was hoping to hear some Ohio fab cheerleading as well. Build and fill baby - build and fill!
MKWVentures
Moderator
There is no "another USG investment in Intel" that I saw? did i miss it???
LBT is the deal maker. Stock more than Doubled since he took over. great job vs previous CEO having stock price below book value due to incredibly shaky balance sheet. Go LBT.
Panther Lake is a good chip on a very expensive process. We will soon know the margin impact. looking forward to earnings presentation
LBT is the deal maker. Stock more than Doubled since he took over. great job vs previous CEO having stock price below book value due to incredibly shaky balance sheet. Go LBT.
Panther Lake is a good chip on a very expensive process. We will soon know the margin impact. looking forward to earnings presentation
You did not miss it. I misread the article. I edited the thread title to fix my error. Thanks for pointing that out.
hist78
Well-known member
I'm wondering what Trump and Lip-Bu Tan were hoping to achieve through this meeting. A policy change? A mega merger or buyout to save Intel that would require Trump’s blessing and an antitrust waiver? An additional government cash injection through a loan or equity investment? Or are they simply two friends wanting to say “Happy New Year” to each other?
MKWVentures
Moderator
When you play the political game, you have these meetings to discuss
1) What does trump want from Intel: Committment to America First and Trump Shout outs.
2) What does Intel Want: Trade support, Less regulation, less tariffs.
Then they discuss Niners vs Eagles and eat Mcdonalds.
hist78
Well-known member
I think #2 is critical. Intel has some issues, very serious ones. Lip-Bu Tan and Intel want U.S. government intervention.
MKWVentures
Moderator
No sure I agree. What intervention do you think Intel wants?
Trump recently mentioned in the press China taking Taiwan. Lip-Bu could certainly comment on that. I could not think of a better semiconductor advisor on that subject than Lip-Bu.
Trump on Chinese leader Xi taking Taiwan: ‘That’s up to him’
siliconbruh999
Well-known member
maybe more tax credit or something to help IFS
Begging for the admin to lean on American companies to use Foundry?
Or maybe it’s just another round of equity? I really don’t like the idea of USG owning more and more of Intel, though. This way leads to nationalization, whether literally or effectively…
siliconbruh999
Well-known member
Yeah they already own enough though all leading edge foundry are nationalized.
I do not see Lip-Bu begging for anything.
The U.S. government converted CHIPS Act grant funds and the Secure Enclave award into an equity stake in Intel (roughly 9.9 % valued at about $8.9 billion which has more than doubled in value in 6 months).
Meeting one of your largest shareholders sounds like a good idea to me.