GOP Senator Warns: US Government Stake in Intel Could Signal Socialism

GOP Senator Raises Alarm Over Intel Stake

Senator Rand Paul (Ky.), a libertarian-minded Republican, has voiced strong opposition to the Trump administration's plan to acquire a stake in U.S. chipmaker Intel. Highlighting that "if socialism is government owning the means of production, wouldn’t the government owning part of Intel be a step toward socialism?" Paul expressed his discontent on the social platform X.

Adding that it's a "terrible idea," Paul pointed to a news article discussing the recent efforts to secure a 10 percent stake in Intel, which would position the U.S. government as one of the company’s largest shareholders.

Funding and Administration Justifications

Commerce Secretary Howard Lutnick clarified that the funding for the stake would originate from previously allocated Biden-era funding. Reports indicate that this share acquisition may hinge on diverting grants committed to Intel under the CHIPS and Science Act.

Secretary Lutnick emphasized the rationale behind the administration's strategy, stating, "The president figures out that we should get, America should get the benefit of the bargain." He echoed President Trump's sentiments on why taxpayers should not be subsidizing a company valued at $100 billion without receiving an equity stake in return.

Paul's Long-standing Views

Senator Paul has consistently advocated for reduced federal involvement in both the economy and citizens' lives. His opposition extends to significant federal spending initiatives, including his vote against President Trump’s landmark policy bill, citing concerns about fiscal responsibility.