←back to thread

U.S. government takes 10% stake in Intel

(www.cnbc.com)
607 points givemeethekeys | 3 comments | 22 Aug 25 21:01 UTC | HN request time: 0.239s | source
Show context
jjcm ◴[22 Aug 25 22:36 UTC] No.44990743[source]▶
In general I would rather the government take a stake in corporations they're bailing out. I think the "too big to fail" bailouts in the past should have come with more of a cost for the business, so on one hand I'm glad this is finally happening.

On the other hand, I wish it were a more formalized process rather than this politicized "our president made a deal to save america!" / "Intel is back and the government is investing BUY INTEL SHARES" media event. These things should follow a strict set of rules and processes so investors and companies know what to expect. These kind of deals should be boring, not a media event.

replies(25): >>44990768 #>>44990991 #>>44991008 #>>44991032 #>>44991056 #>>44991094 #>>44991125 #>>44991135 #>>44991142 #>>44991149 #>>44991156 #>>44991177 #>>44991295 #>>44991514 #>>44991586 #>>44991729 #>>44992050 #>>44992377 #>>44992551 #>>44992788 #>>44993446 #>>44993951 #>>44993969 #>>45000356 #>>45063597 #
1. sethev ◴[22 Aug 25 23:18 UTC] No.44991135[source]▶
The government took 79.9% of AIG in that bailout - which was the biggest of the "too big to fail" bailouts from the past. People seem to forget that the owners of these companies that were bailed out got almost completely wiped out and instead focus on management compensation (which famously stayed high).
replies(2): >>44993468 #>>44993779 #
2. georgeecollins ◴[23 Aug 25 05:33 UTC] No.44993468[source]▶
That's an over simplification. AIG was bailed out. And it's investors were wiped out. But AIG owed a huge amount of money to banks and investment firms that had enormous benefit from the bail out. Those are the people who paid no price.
3. claw-el ◴[23 Aug 25 06:35 UTC] No.44993779[source]▶
One challenge with the government taking large ownership in private companies is that it creates an opportunity to offload the ownership later, and that offloading might happen during a different presidential administration from the one that acquired it, and the offloading process can also be an opportunity to enrich someone else.

One example that comes to mind is the current Fannie Freddie Mac.