Do you need another lifeline?
You are the weakest link.
Posted on 08/19/2025 8:29:14 AM PDT by DFG
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.”
SoftBank’s investment in Intel makes it the sixth-largest shareholder, according to The Wall Street Journal. Last year, the Japanese investing firm committed to spending $100 billion in the US during President Donald Trump’s four years in office. SoftBank has already teamed up with OpenAI on Project Stargate, a $500 billion initiative to build a network of data centers in the US.
The news comes amid reports that the US government plans to take a 10 percent stake in Intel. During an interview with CNBC on Tuesday, Treasury Secretary Scott Bessent said the “stake would be a conversion of grants” meant to “stabilize the company for chip production here in the US.”
(Excerpt) Read more at theverge.com ...
Uh-oh. Free cash flush in another board room of thieves and pirates. It’s never a good idea. Let them float bonds at a great rate. All the skin in the game must be theirs and of those holding their instruments of debt, not the taxpayers.
Note the trans dude was hired in 2021 when Biden came in and started hiring the crazies for Fed slots. Trump admin is flushing them out as soon as they display the crazy crap on the job
What’s happening with Intel isn’t a fresh taxpayer handout or free cash. The 10% stake being discussed is not a new subsidy; it’s a conversion of previously authorized CHIPS Act grants (announced in 2024 under Biden) into equity. In other words: instead of Intel just receiving billions as non-repayable aid, the Trump administration is saying, “We’ll take shares instead.”
The fact that about 75% of Intel’s chips are produced in the U.S. is exactly why Washington cares. Unlike most competitors that rely heavily on Asia, Intel anchors America’s advanced semiconductor capacity at home. If Intel falters, the U.S. risks losing its only large-scale domestic producer of cutting-edge chips—something that can’t be replaced quickly with imports. That’s why stabilizing Intel isn’t just corporate welfare; it’s a national security issue.
U.S. Senator probes Intel board over CEO Lip-Bu Tan’s former China links —
raises national security concerns amid Cadence scandal
Tom’s Hardware ^ | 8 August 2025 | Hassam Nasir
Posted on 8/8/2025, 4:48:27 PM by anthropocene_x
The appointment of Lip‑Bu Tan as Intel’s CEO has prompted U.S. Senator Tom Cotton to scrutinize his past business ties to Chinese tech firms—and whether those connections threaten Intel’s role in American defense-linked supply chains. Intel is actively involved in the federal Secure Enclave initiative, which aims to secure microelectronics for U.S. defense use, and holds a roughly $3 billion contract with the Department of Defense. Cotton’s letter asks whether Tan’s investment history could compromise Intel’s obligations under such programs.
A Reuters investigation in April revealed that Tan invested at least $200 million in over 600 Chinese firms through his venture firm Walden International and related entities. Several firms were tied to the People’s Liberation Army, including early investments in SMIC and partnerships with state-linked companies such as China Electronics Corporation.
Tan also led Cadence Design until 2023. Cadence recently agreed to plead guilty and pay over $140 million after selling chip-design tools to a Chinese military university involved in nuclear simulation work while under Tan’s leadership. (Excerpt) Read more at tomshardware.com ...
I’m not sure if the in-fighting is still there between upper management.
They have tried for 10 years to compete in the Foundry business with TSMC and in-fighting killed it.
I worked for a year trying to figure out their 3nm Foundry process which was clearly not ready for prime time.
One day they fired 3/4 of their support team and then two months later canceled the project.
TSMC does NOT treat their customers this way.
Not clear on why intel is having $ trouble? It’s a major.chip producer with its products in zillions of computers and devices. What gives?
My perspective, as a retail-level stockholder, is absolutely piss-poor, DEI, woke, STUPID management.
I mean literally stupid ... low IQ people in high places.
I'm holding the shares I have ... I think they'll come around. Maybe. But I'm not putting any new money in ...
This is not investment advice. Do your own research, make your own decisions. 😉
Stickers on crappy laptops now say: MBAs Inside
Indeed it doesn’t take a whole lot of incompetent management to ruin a company
Ha!
The primary cause of Intel’s problems were from 10 years ago.
They were trying to get a 10nm process working with 193nm lithography to save $$ on Capital expenses.
It never worked.
Meanwhile, TSMC and Samsung took the gamble, skipped 10nm and jumped to 7nm on EUV lithography.
By the time Intel made the switch, they were way behind.
In addition, they forced out experienced employees and replaced them with India workers.
Those laid off workers then went to Apple, Nvidia, AMD and IBM and got their 7nm designs up and running.
I jumped ship and went to IBM and was treated like a professional for the first time in 30 years.
I see.
Thanks!
Making a product development miscalculation is one thing.
Lowering the expertise in the key research area is another. As your info illustrates, it can cripple the entire enterprise’s future.
But intel management probably are still
Patting themselves on their backs for saving a few thousand dollars per unit of labour.
Fire the ceo who is probably selling Intels secrets to communist China.
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