US Commerce Secretary Lutnick suggests government may consider stakes in defense and other industries following Intel deal.

US Commerce Secretary Howard Lutnick suggests the government is considering stakes in defense and other industries, citing Lockheed Martin as an example of a company that benefits from government policies. He suggests the economics of companies like Lockheed Martin need to be reevaluated, and the government should consider how to finance munitions acquisitions. Lutnick emphasizes the benefits of the Intel deal to American taxpayers and encourages leaders to press for a better deal when US companies receive government investment.

The U.S. government's recent investment in Intel, valued at approximately $11 billion, has sparked speculation about potential future investments in other industries, particularly defense. Commerce Secretary Howard Lutnick has suggested that the government may consider stakes in companies like Lockheed Martin, citing the benefits of government policies and the need to reevaluate the economics of such companies.

The U.S. government's investment in Intel, announced by Commerce Secretary Howard Lutnick, has seen the company's stock rise by about 6% following the government's announcement of a 10% stake in the company. This investment is part of a broader effort to secure the nation's semiconductor supply chain [1]. The government's equity stake in Intel is not merely a financial transaction but a strategic move to ensure that critical technologies remain within the U.S. borders. Intel's CEO, Lip-Bu Tan, has emphasized the company's commitment to delivering advanced technologies made in the U.S., which is crucial for both economic and national security [1].

Lutnick's comments suggest that the government may extend similar equity stakes to other U.S. semiconductor companies or even other industries. The goal is to secure the nation's supply chain and reduce dependence on foreign suppliers, particularly in critical sectors like semiconductors and minerals [3][4]. The Intel deal, which includes a warrant for an additional 5% stake if the company ceases to own at least 51% of its foundry business, underscores the government's commitment to long-term strategic interests. This approach aligns with the broader objective of the CHIPS Act, which aims to support the domestic semiconductor industry and ensure that the U.S. remains competitive in global technology markets [1].

In addition to semiconductors, Lutnick has mentioned defense companies such as Lockheed Martin as potential beneficiaries of government investment. He suggests that the economics of such companies need to be reevaluated, and the government should consider how to finance munitions acquisitions. Lutnick emphasizes the benefits of the Intel deal to American taxpayers and encourages leaders to press for a better deal when U.S. companies receive government investment.

The U.S. government's investment in Intel is part of a larger strategy to secure critical technologies and reduce reliance on foreign suppliers. With Lutnick's comments suggesting broader industry involvement, investors and financial professionals should expect further developments in the coming months.

References:
[1] https://www.cnbc.com/2025/08/22/intel-goverment-equity-stake.html
[2] https://www.aol.com/finance/trump-says-us-10-stake-180452281.html
[3] https://www.zawya.com/en/world/americas/white-houses-hassett-says-us-could-take-stakes-in-other-industries-r9loc7zb
[4] https://finance.yahoo.com/news/white-houses-hassett-says-u-123729225.html