Intel Acquisition Rumors Swirl as Trump Inauguration Nears

WASHINGTON, D.C. — As former President Donald Trump prepares for his inauguration on Jan. 20, 2025, U.S. semiconductor giant Intel is reportedly in talks with multiple potential buyers for its struggling chip business. A recent report suggests that a company is considering acquiring Intel outright, rather than purchasing individual divisions, with confidence in the deal increasing from 60% to over 90%, according to sources cited by SemiAccurate.

Speculation has centered on several high-profile figures and companies. Elon Musk, CEO of Tesla and SpaceX, has emerged as a potential buyer. Reports indicate that Musk, along with executives from Qualcomm and GlobalFoundries, recently gathered at Trump’s Mar-a-Lago Club. While Musk’s interest in Intel remains unconfirmed, analysts caution that such a deal could be a “poor outcome” for Intel unless the company appoints a new CEO with expertise in advanced manufacturing and technical skills.

Another potential suitor is GlobalFoundries, a U.S.-based semiconductor manufacturer and trusted Pentagon supplier. In September 2024, Intel secured a $3.5 billion contract with the Pentagon to produce advanced semiconductors for military and intelligence use. A merger between Intel and GlobalFoundries could create a powerhouse capable of producing everything from basic semiconductors to advanced processors. However, challenges remain, including GlobalFoundries’ majority ownership by Abu Dhabi’s Mubadala Investment Co. and its limited financial capacity for such an acquisition.

Meanwhile, Qualcomm and Broadcom, two other major players in the semiconductor industry, appear to be stepping back from the deal. Qualcomm’s interest in acquiring Intel has reportedly waned due to the complexity of the transaction, though the company may still consider purchasing parts of Intel in the future. Broadcom, known for its custom ASICs, has stated it is fully focused on advancing its AI business and has no plans to acquire Intel.

The potential acquisition of Intel comes at a critical time for the U.S. semiconductor industry, which faces increasing competition from global rivals. The outcome of these talks could have significant implications for national security, technological innovation, and the broader economy.