Donald Trump has a message for critics who think turning the U.S. government into a major stockholder of Intel is a “socialist” move: More is coming. “I will make deals like that for our Country all day long,” the president posted on Truth Social after critics piled on, adding later about future ownership stakes, “I want to try and get as much as I can.” One possible target: defense contractors, whom Commerce Secretary Howard Lutnick told CNBC Tuesday were ripe for the picking given the U.S. government is a big customer. Free-market conservatives were already wary of Trump’s tendency to interfere in corporate decision-making by, for example, telling Apple where it should make iPhones, or even demanding a cut of Nvidia’s sales of chips to China. But the Intel move is a startling defiance of Republican orthodoxy that says governments shouldn’t try to pick corporate winners and losers and risk messing things up as owners by rewarding executives for politically smart but financially stupid decisions. The U.S. government is getting a 10% stake in Intel through the conversion of billions in previously granted government funds and pledges, making it one of Intel’s largest shareholders. “If socialism is government owning the means of production, wouldn’t the government owning part of Intel be a step toward socialism?” Republican Sen. Rand Paul said in a post on X. “Terrible idea.” Scott Lincicome, a Cato Institute trade expert, says Intel could end up making decisions now to please Trump even if they’re impractical, say, by going ahead with plans to open a long-promised chipmaking factory in Ohio. And even short-term gains from government ownership, such as more companies buying Intel semiconductors, will hurt business in the end by saddling those companies with inferior chips. “Intel might simply gain customers from folks that are looking to stay on Trump’s good side,” he said. “But innovation requires ruthless competition, an endless drive for an advantage — and now they might accept a disadvantage because they need the political win.” Many Republicans remained silent on the issue, prompting others to suggest they are free market hypocrites. “For so many of my self-described true conservatives, you’re going to have to explain to me how this reconciles with true conservatism and true free-market capitalism,” Republican North Carolina Sen. Thom Tillis told CBS in an interview. “I don’t see it.” Early last year, the Biden administration agreed to provide Intel with billions of dollars in funding under the CHIPS Act for it to build semiconductor manufacturing factories around the country, part of a plan to produce 20% of the world’s most advanced chips in the U.S. by 2030, up from zero at the time. Trump argues that he got the Intel stake for free by converting $11.1 billion of funding into the equity stake. He also notes that Intel shares shot higher after he struck the deal Friday, handing a big win to U.S. taxpayers. “I love seeing their stock price go up, making the USA RICHER, AND RICHER,” Trump posted Monday morning before the stock trading began. “More jobs for America!!! Who would not want to make deals like that?” The price of Intel stock fell slightly both Monday and Tuesday, and investors have reason to be cautious. In a filing to its investors after the deal was announced, […]  | Read More The Yeshiva World