President of the United States (US, Donald Trump, on Monday, bragged about the government’s new stake in Intel and said he’s resolute to do similar deals.
Following the Intel stake deal, Trump posted on Truth Social: “I will make deals like that for our Country all day long.”
He asked, “Why are “stupid” people unhappy with that?”
Kevin Hassett, White House Economic Advisor, said, the Intel move is part of a wider strategy to establish a sovereign wealth fund that could encompass more companies.
In a deal that marked more incursion of federal involvement with private companies, the White House on Friday announced that it was taking a 10% share of the chipmaking company.
The stake is worth about $8.9 billion, some of which will come from grant funding associated with the CHIPS Act while the remaining will be under separate government allocations for programs associated with making secure chips.
The US President posted: “I PAID ZERO FOR INTEL, IT IS WORTH APPROXIMATELY 11 BILLION DOLLARS. All goes to the USA.”
President Trump signed an executive order in early February to commence a sovereign wealth fund, a mechanism mainly used by smaller countries with immense natural resources that are used as funding backstops for transactions.
Norway takes the lead in the world in such funds with some $1.8 trillion in assets, according to the Sovereign Wealth Fund Institute. China is next, and multiple Middle East nations also have large funds.
Trump further posted: “I will also help those companies that make such lucrative deals with the United States States. I love seeing their stock price go up, making the USA RICHER, AND RICHER. More jobs for America!!! Who would not want to make deals like that?”
Hassett said that, the move is part of the administration’s strategy that includes tariffs to support more companies to onshore their production.
