This is a bailout; it's the opposite of taxes.

mikepurvis 3 days ago | parent | next [-]

Isn't it the opposite of a bailout, given that the US gov't is seizing an ownership stake retroactively based on past grants/bailouts but giving no new money at this time?

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wmf 3 days ago | parent [-]

The CHIPS Act was the bailout; this is just replacing the previous profit sharing with equity.

	▲	anon291 3 days ago \| parent \| next [-]
		CHIPS act is a grant similar to a small business grant, not a bailout at all. It was intended to incentivize chip production in the United States and was available to any company manufacturing in the united states. It had no equity strings attached, as authorized by congress.
	▲	tester756 3 days ago \| parent \| prev [-]
		It was very messy bailout then

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roxolotl 3 days ago | parent | prev [-]

Most of the money has already been given:

> The 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 will continue to deliver on its Secure Enclave obligations and reaffirmed its commitment to delivering trusted and secure semiconductors to the U.S. Department of Defense. The $8.9 billion investment is in addition to the $2.2 billion in CHIPS grants Intel has received to date, making for a total investment of $11.1 billion.

So it kinda is something weird? It's not really a pure bail out, the Chips act already did that, and it's also not really a tax because they aren't going to get money out unless there's dividends. It's more like a power play which makes sense given that Trump is uncomfortable without anyone getting anything for nothing.

	▲	anon291 3 days ago \| parent [-]
		No No No. Grant money is counted as income. It is thus taxed. If this were really an investment it wouldn't have been taxed. Forget the grant. The grant has nothing to do with what happened. Intel's board of directors voted to give 1/10 of the company away and thus devalued your shares.