SoftBank Invests in Intel
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The back-to-back news items signal a public and private sector commitment to domestic semiconductor production and underscore Intel's importance.
SoftBank is investing $2 billion in Intel, even as the White House is considering taking a 10% stake in chipmaker per reports, as talks with the company and Trump's team advance.
The deal between SoftBank and Intel would involve the creation of roughly 87 million new shares, adding an incremental 2% to Intel’s overall share count. Reitzes believes the transaction will happen before the end of the year.
Shares in the chip maker rose following news of SoftBank’s planned investment and a possible stake for the U.S. government.
The move could signal SoftBank’s chip ambitions, as the company may be gearing up to build Arm CPU tiles, AI XPUs, and Ampere chips tied to the Stargate Project.
SoftBank will invest $2 billion into Intel as the struggling chipmaker pulls back on spending and lays off thousands of workers. In an announcement, SoftBank CEO Masayoshi Son said the investment aligns with the firm’s belief that “advanced semiconductor manufacturing and supply will further expand in the United States.”
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