Lip-Bu Tan, CEO of Intel Corp., will depart on Monday, August 11, 2025, following a meeting at the White House in Washington, DC, USA.
Alex Wroblewski | Bloomberg | Getty Images
Intel And Softbank announced on Monday that the Japanese conglomerate will invest $2 billion.
SoftBank will pay $23 per share for Intel's common stock. Intel shares rose 4% in extended trading.
This investment is a vote of confidence in Intel, which has spent a lot of money to stand up to the manufacturing industry that has not yet managed to capitalize on the advanced semiconductor AI boom and has yet to secure key customers.
“Masa and I have been working closely for decades and we are grateful for the confidence he has put in Intel with this investment,” Intel CEO Lip-Bu Tan said in a statement.
Intel's stock lost 60% of its value last year. This was the worst performance in the company's public markets in over half a century. Stocks had grown 18% in 2025 as of the end of Monday.
Lip-Bu Tan took over Intel CEO in March after investors put pressure on Chipmaker to fall in stock prices.
Recently, Intel has been a topic of discussion in Washington. This is because the company is a key US supplier, as it is the only American company capable of producing the most sophisticated chips.
However, Intel's Business Manufacturing chips have yet to secure key customers for other companies called Foundry Business. This is an important step towards stabilization and expansion. Last month, Intel said it would wait to secure an order before committing to certain further investments in the foundry.
Last week, Tan met with President Donald Trump after calling for Tan to resign. The US government is considering taking stock interest in Intel, according to the report.
SoftBank has become an increasingly large player in the global chip and AI market.
In 2016, SoftBank acquired Chip Designer Arm in a transaction worth around $32 billion at the time. Today, the company is worth almost $150 billion.
The arm-based chip is part of Nvidia's system that enters the data center. And in March this year, SoftBank announced plans to acquire another chip designer, Ampere Computing, for $6.5 billion.
Softbank was part of President Donald Trump's Stargate announcement in January, along with Openai and Oracle.
The three have pledged to invest $100 billion and up to $500 billion over the next four years in their AI infrastructure projects. Two months later, SoftBank led the way to Openai, the largest private technology deal with a record $40 billion investment.
“This strategic investment reflects our belief that advanced semiconductor manufacturing and supply is expanding further in the US and Intel plays a key role,” Softbank CEO Masayoshi Son said in a statement.