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U.S. Government to Own $8.9 Billion Worth of Shares in Intel Corporation

U.S. government to acquire $8.9 billion worth of common stock in Intel Corporation.

What Happened?

Intel Corporation has announced an agreement with the Trump Administration, and under terms of the agreement, the United States government will make an $8.9 billion investment in Intel common stock. 

According to a press release by Intel, the federal government’s equity stake will be funded by the remaining $5.7 billion in grants previously awarded, but not yet paid, to Intel under the U.S. CHIPS and Science Act. And $3.2 billion awarded to the company as part of the Secure Enclave program. 

‘Intel is excited to welcome the United States of America as a shareholder, helping to create the most advanced chips in the world,’ said Howard Lutnick, United States Secretary of Commerce.

Why it Matters

Federal government direct investment in private companies is not unprecedented, but it is fairly rare. In the past, such moves have been driven by national security concerns, though the current motivation appears to be purely financial.

Apple’s next move could reshape how we use phones

Apple’s in the headlines again.

Bloomberg says the company is testing a next-gen Siri that won’t just answer questions, it’ll run your apps for you.

Book an Uber. Post on social media. Send a file. All with one voice command.

But while everyone’s focused on Apple’s stock price, the biggest percentage gains can happen in smaller, under-the-radar companies riding the same wave of mobile engagement.

That’s where Mode Mobile comes in.*

Mode’s platform rewards people for the screen time Big Tech already takes, and it’s already grown 32,481% in revenue (America’s #1 fastest growing software company per Deloitte).

Plus, the company has:

 50M+ users
 $325M+ paid to users
 $75M in real revenue
 Nasdaq ticker secured for potential IPO

Apple will keep making phones more embedded in our daily lives, but Mode turns that time into income.

And unlike Apple, Mode’s shares are still available at early-stage prices before potential IPO.

The last mobile revolution minted millionaires.

This one could too.

‘I will make deals like that for our Country all day long,’ President Trump said on Truth Social. ‘I love seeing their stock price go up, making the U.S.A. richer. More jobs for America!’ Mr. Trump added. The move by the federal government to make the purchase comes after the value of Intel stocks dropped by 50% during the past five years.

While Intel expressed support on its public webpage, in Security and Exchange (SEC) filings, the company indicated it had several concerns about the deal. In an SEC filing, the company said international sales could suffer as a result of the agreement President Donald Trump announced Friday that turned the federal government into its largest shareholder. Intel also said it could face litigation and possible backlash from foreign governments, business partners and even its own employees over the deal.

The deal also raises philosophical concerns for the majority party in Washington D.C. For decades the Republican party adamantly voiced opposition to government interference in business, with some even claiming government control of business amounted to communism. 

The move by the Trump Administration is a complete repudiation of that philosophy, because it makes the U.S. government a shareholder in a private corporation. A number of self-described conservatives online have blasted the deal as a betrayal of conservative values, which could create political problems for Republicans in the 2026 mid-term elections. 

Many countries around the world have state owned enterprises (SOEs), but the United States has until now refrained from creating SOEs due to a strong belief in the power of the free market. 

How it Affects You

The move towards SOEs by the United States suggests the current administration no longer believes free market capitalism is superior to government planned operations. That could become a major issue next year in the U.S. Congressional elections.

*Mode Mobile recently received their ticker reservation with Nasdaq ($MODE), indicating an intent to IPO in the next 24 months. An intent to IPO is no guarantee that an actual IPO will occur.

The Deloitte rankings are based on submitted applications and public company database research, with winners selected based on their fiscal-year revenue growth percentage over a three-year period.

Please read the offering circular and related risks at invest.modemobile.com.