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On 20 August, Reuters reported that two sources revealed that US Commerce Secretary Howard Luteznik is exploring the possibility of the federal government using funds from the CHIPS Act to acquire equity stakes in chip manufacturers. Luteznik is examining how the US could use CHIPS Act funds to acquire equity stakes in companies such as Micron, TSMC, and Samsung. Currently, most of the funds have not yet been disbursed.

A White House official and a source familiar with the matter stated that Lutnick is considering exchanging equity in Intel in exchange for cash subsidies. White House Press Secretary Caroline Levitt confirmed on Tuesday that Lutnick is discussing an agreement with Intel that would grant the U.S. government a 10% equity stake. She told reporters, ‘The President wants to prioritise U.S. needs from the perspectives of national security and the economy, and this is an unprecedented idea.’

Although Lutnick previously stated that the U.S. government would not interfere in Intel's operations, such an investment would be unprecedented and could mark the beginning of a new era where the U.S. exerts influence over large corporations. In the past, the U.S. has provided funding to companies through equity holdings to bolster confidence during periods of economic turmoil and uncertainty.

Sources indicated that U.S. Treasury Secretary Scott Besent also participated in discussions regarding the ‘Chip Act,’ but Lutnik was the primary driving force behind the process. The U.S. Department of Commerce oversees the $52.7 billion (approximately RMB 378.576 billion at current exchange rates) CHIPS Act, officially titled the CHIPS and Science Act, which aims to provide research funding and subsidies for the construction of domestic chip factories in the United States.

Sources also indicated that Lutnick has been advocating for an equity-based approach, and Trump has expressed support for the idea.

By the end of last year, the U.S. Department of Commerce had finalised subsidies for Samsung, Micron, and TSMC, amounting to $4.75 billion, $6.2 billion, and $6.6 billion respectively, to support their semiconductor production in the United States. In June this year, Lutnick stated that the department was renegotiating the subsidies previously approved by former President Biden for semiconductor companies, describing them as ‘too generous.’ He mentioned at the time that Micron had agreed to increase its spending on U.S. chip factories.