Intel Stock Rises on Potential U.S. Government Investment in Ohio Chip Complex

Intel (INTC) shares surged 3.7% Friday afternoon following reports of potential U.S. government investment in its Ohio semiconductor facility. Bloomberg revealed ongoing discussions about the TRUMP administration taking a stake in Intel, mirroring a recent $400 million Pentagon investment in rare earths mining.

The chipmaker's $100 billion Ohio project faces delays due to financial constraints, with Intel reporting $15.5 billion negative free cash flow last year. This MOVE aligns with broader efforts to reshore critical semiconductor manufacturing capabilities to American soil.

Market reaction reflects Optimism about the potential cash infusion, though neither party has confirmed the talks. Intel's substantial $30 billion net debt position suggests any government participation would likely be significant.