Samsung Reportedly Considering Intel Investment Amid Trump Administration’s Push for U.S. Chip Leadership
South Korean technology giant Samsung is reportedly weighing an equity investment in Intel, according to a report in the Korean press. The move is seen as part of Samsung’s strategy to align itself with the Trump administration’s efforts to rebuild domestic chip production and could mark another high-profile boost for Intel following Softbank’s recent $2 billion investment.
Intel at the Center of U.S. Chip Strategy
Intel is playing a critical role in U.S. semiconductor ambitions, given it remains the only American company with the capability to operate at the leading edge of chip manufacturing. The Trump administration has reportedly considered converting Intel’s CHIPS Act subsidies into equity, a move that has raised concerns about dilution among investors already cautious about Intel’s earnings outlook and costly production agreements.
Earlier this year, investor enthusiasm around Intel briefly rose under new CEO Lip-Bu Tan, but sentiment has remained volatile as optimism about a potential foundry spinoff has been offset by worries over slowing demand for advanced process nodes. Intel stock dropped 7% yesterday, following broader tech market selloffs and renewed reports of possible equity conversion.
Following Softbank’s Lead
The speculation about Samsung comes shortly after Japanese investment giant Softbank committed to a $2 billion stake in Intel, a move that temporarily lifted the chipmaker’s shares. By following suit, Samsung could both strengthen ties with Intel and curry favor with Washington, particularly as the Trump administration pushes to secure foreign investment in U.S. chipmaking.
Industry insiders quoted by ETNews suggested that Samsung sees an Intel stake as both a legitimizing step and a practical move with potential benefits.
Samsung’s Alternatives: Amkor and Packaging Strategy
Investment in Intel is reportedly not Samsung’s only option. Sources indicate the company is also exploring a partnership with U.S. packaging firm Amkor, a critical player in advanced semiconductor packaging.
Packaging has become a vital sub-sector in the AI era, where chips must endure increasingly extreme operating conditions. While rival TSMC has heavily invested in in-house packaging solutions, Samsung has lagged behind and could close that gap by collaborating with Amkor.
Beyond potential investments, Samsung has already secured a landmark deal this year by signing a $16.5 billion chip production agreement with Tesla. The Texas-based project will see Samsung manufacture Tesla’s next-generation AI chips, with Elon Musk personally overseeing aspects of production. This achievement strengthens Samsung’s position as a key player in the global AI chip supply chain.
As Samsung weighs its next steps, whether through Intel investment or packaging partnerships, its decisions will likely shape not only its rivalry with TSMC but also its standing with the U.S. administration in the rapidly evolving semiconductor landscape.
Do you think Samsung investing in Intel would be a smart long-term strategy, or would a partnership with Amkor in advanced packaging offer more lasting benefits?
