US mulls equity stakes in Micron, Samsung, TSMC after Intel deal talks

The US government is considering taking equity stakes in companies, including Micron, Samsung, and Taiwan Semiconductor Manufacturing Co (TSMC) after its plan of getting 10% stakes in Intel

US Commerce Secretary Howard Lutnick is reportedly exploring a plan for the Trump administration to secure equity stakes in chip manufacturing companies, including Micron, Taiwan Semiconductor Manufacturing Co (TSMC), and Samsung.

 

According to a report by Reuters, the US government is considering stakes in firms that receive CHIPS Act funding to build factories in the country. This follows Washington’s ongoing talks to take a 10 per cent stake in Intel in exchange for cash grants.

 

White House backs Intel model

 

White House Press Secretary Karoline Leavitt confirmed on Tuesday that Lutnick was working on a deal with Intel for a government stake. “The President wants to put America’s needs first, both from a national security and economic perspective, and it’s a creative idea that has never been done before,” she said. 

 

Lutnick told CNBC earlier that the government does not want to direct Intel’s operations, but described the move as an unprecedented step that would give Washington greater influence over strategic firms.

 

National security parallels

 

Washington has taken company stakes in past crises to inject cash and boost confidence. Earlier this year, US President Donald Trump approved Nippon Steel’s takeover of US Steel after negotiating a “golden share” that allows the White House to block production cuts, outsourcing, or plant closures. 

 

Reuters reported that Treasury Secretary Scott Bessent is also involved in CHIPS Act discussions, though Lutnick is leading the process. The $52.7 billion programme, officially known as the CHIPS and Science Act, is overseen by the Commerce Department.

 

Subsidies already flowing

 

In 2024, the US Commerce Department approved subsidy packages worth $6.2 billion for Micron, $6.6 billion for TSMC, and $4.75 billion for Samsung to expand semiconductor production in the US. Micron is the second-largest recipient of CHIPS Act funds after Intel. 

 

Political backing

 

The equity-stake idea is being driven by Lutnick and has found support from Donald Trump, Reuters reported. The move marks a sharp shift in how the US government seeks to protect its economic and national security interests in the semiconductor sector.