August 19, 2025 – On Monday, tech giants Intel and Japan’s SoftBank Group made a major announcement: SoftBank is set to invest a hefty 2billioninIntel.Asperthedeal,SoftBankwillacquirecommonsharesofIntelatapriceof23 per share. This news sent Intel’s stock soaring by 4% in after – hours trading.
This investment is widely seen as a significant vote of confidence in Intel. In recent years, Intel has missed out on a great deal of the opportunities presented by the artificial intelligence (AI) boom in the advanced semiconductor sector, which has led to a poor performance of its stock price. In 2024, Intel’s stock price plummeted by 60%, marking the worst annual performance in the company’s history since going public over half a century ago. However, as of the close of trading on Monday, Intel’s stock had already climbed by 18% in 2025.
Intel holds a crucial position in the US semiconductor supply chain as the only American company capable of producing the most cutting – edge chips. Lately, it has been at the center of discussions among Washington politicians, being regarded as a vital chip supplier for the United States. Nevertheless, Intel’s foundry chip – manufacturing business is still struggling to secure major customer orders, a factor that is essential for the stability and expansion of its operations. Just last month, Intel stated that it would hold off on further investment in its foundry business until it secures customer orders.
Last week, Intel’s Chief Executive Officer (CEO) Lip – Bu Tan had a meeting with former US President Donald Trump, following Trump’s previous demand for his resignation.
Regarding this investment, SoftBank’s CEO Masayoshi Son said in a statement, “This strategic investment reflects our belief that the advanced semiconductor manufacturing and supply in the United States will continue to expand, and Intel will play a pivotal role in this process.”
In response, Intel’s CEO Lip – Bu Tan said in a statement, “Mr. Son and I have been working closely together for many years. I am extremely grateful for the confidence he has shown in Intel through this investment.”
