3 ms·

Forgive me...how is this different than taxes? And wouldn't it be better to oh, I don't know, enforce the standard corporate tax rate?

wmf 1y ago
This is a bailout; it's the opposite of taxes.
- mikepurvis 1y ago
  Isn't it the opposite of a bailout, given that the US gov't is seizing an ownership stake retroactively based on past grants/bailouts but giving no new money at this time?
  - wmf 1y ago
    The CHIPS Act was the bailout; this is just replacing the previous profit sharing with equity.
    - tester756 1y ago
      It was very messy bailout then
    - anon291 1y ago
      CHIPS act is a grant similar to a small business grant, not a bailout at all. It was intended to incentivize chip production in the United States and was available to any company manufacturing in the united states. It had no equity strings attached, as authorized by congress.
- roxolotl 1y ago
  Most of the money has already been given: > The government’s equity stake will be funded by the remaining $5.7 billion in grants previously awarded, but not yet paid, to Intel under the U.S. CHIPS and Science Act and $3.2 billion awarded to the company as part of the Secure Enclave program. Intel will continue to deliver on its Secure Enclave obligations and reaffirmed its commitment to delivering trusted and secure semiconductors to the U.S. Department of Defense. The $8.9 billion investment is in addition to the $2.2 billion in CHIPS grants Intel has received to date, making for a total investment of $11.1 billion. So it kinda is something weird? It's not really a pure bail out, the Chips act already did that, and it's also not really a tax because they aren't going to get money out unless there's dividends. It's more like a power play which makes sense given that Trump is uncomfortable without anyone getting anything for nothing.
  - anon291 1y ago
    No No No. Grant money is counted as income. It is thus taxed. If this were really an investment it wouldn't have been taxed. Forget the grant. The grant has nothing to do with what happened. Intel's board of directors voted to give 1/10 of the company away and thus devalued your shares.
Thrymr 1y ago
It's not like taxes because they are just making up the rules as they go along.
GardenLetter27 1y ago
Corruption is worse than taxes, because it's unfair. Now the government has an incentive to hurt AMD and free competition. The distorts incentives and destroys the free market.
- deleted 1y ago
  [deleted]
shusaku 1y ago
I look forward to the people who always claim “taxation is theft” to comment on a single man deciding to strong arm a company into giving 10% to the government.

wmf 1y ago

This is a bailout; it's the opposite of taxes.

mikepurvis 1y ago
Isn't it the opposite of a bailout, given that the US gov't is seizing an ownership stake retroactively based on past grants/bailouts but giving no new money at this time?
- wmf 1y ago
  The CHIPS Act was the bailout; this is just replacing the previous profit sharing with equity.
  - tester756 1y ago
    It was very messy bailout then
  - anon291 1y ago
    CHIPS act is a grant similar to a small business grant, not a bailout at all. It was intended to incentivize chip production in the United States and was available to any company manufacturing in the united states. It had no equity strings attached, as authorized by congress.
roxolotl 1y ago
Most of the money has already been given: > The government’s equity stake will be funded by the remaining $5.7 billion in grants previously awarded, but not yet paid, to Intel under the U.S. CHIPS and Science Act and $3.2 billion awarded to the company as part of the Secure Enclave program. Intel will continue to deliver on its Secure Enclave obligations and reaffirmed its commitment to delivering trusted and secure semiconductors to the U.S. Department of Defense. The $8.9 billion investment is in addition to the $2.2 billion in CHIPS grants Intel has received to date, making for a total investment of $11.1 billion. So it kinda is something weird? It's not really a pure bail out, the Chips act already did that, and it's also not really a tax because they aren't going to get money out unless there's dividends. It's more like a power play which makes sense given that Trump is uncomfortable without anyone getting anything for nothing.
- anon291 1y ago
  No No No. Grant money is counted as income. It is thus taxed. If this were really an investment it wouldn't have been taxed. Forget the grant. The grant has nothing to do with what happened. Intel's board of directors voted to give 1/10 of the company away and thus devalued your shares.

Thrymr 1y ago

It's not like taxes because they are just making up the rules as they go along.

GardenLetter27 1y ago

Corruption is worse than taxes, because it's unfair. Now the government has an incentive to hurt AMD and free competition. The distorts incentives and destroys the free market.

deleted 1y ago
[deleted]

shusaku 1y ago

I look forward to the people who always claim “taxation is theft” to comment on a single man deciding to strong arm a company into giving 10% to the government.