Samsung Electronics is now in the eyes of Trump, as he is considering acquiring a stake in firms that have invested in the US.
Initially, the Donald Trump administration announced that it would acquire a stake in Intel, and now it is looking forward to obtaining a share in firms that have invested in the US; for instance, Samsung Electronics.
According to a report (via), the U.S. Commerce Secretary Howard Lutnick is considering a plan for the federal government to acquire equity stakes in manufacturing that builds plants in the US using funds from the Semiconductor Support Act. Although it’s not new, since this has already been pursued, a 10% stake in Intel, now the plan is to expand the equity acquisitions to other brands.
Majorly, there are three companies, including Micron, TSMC, and Samsung, that are among the firms receiving subsidies under the US Chips Act. Each of these has been confirmed to receive dedicated subsidies; for instance, Samsung Electronics is to get $4.75 billion, Micron $6.2 billion, and TSMC $6.6 billion.
Reportedly, a significant portion of the subsidies has not yet been paid, which suggests that the company has the option to intend to retain equity in the companies, effectively refraining from subsidies. It seems unusual for the US government to take a stake in a private firm, as it is interpreted as a move to expand US influence in the semiconductor industry.
