Trump Administration Considers Equity Stakes in Defense Firms Amid Semiconductor Push

The TRUMP administration is exploring direct equity investments in major defense contractors, with Lockheed Martin and Boeing named as potential targets. Commerce Secretary Howard confirmed active discussions about altering the government's relationship with key contractors, calling Lockheed "basically an arm of the U.S. government." This follows last week's $9 billion acquisition of a 10% stake in Intel, framed as a dual play for national security and technological dominance.

Pentagon spending rules face scrutiny as officials question traditional procurement models. "The way it has been done has been a giveaway," Howard remarked, signaling potential overhauls to defense budgeting and congressional approval processes. The MOVE toward corporate stakes represents a fundamental shift in how Washington engages with critical industries.