Commerce Secretary Howard Lutnick told CNBC the U.S. government wants a stake in Intel in exchange for CHIPS Act grant money promised under Biden.

After months of turbulence, Intel Corp. bulls are finally being rewarded for their patience. But the stock’s sudden rebound comes with a worrying side effect: a valuation so high its most

Intel Corp (NASDAQ:INTC) shares are trading higher Tuesday after it was announced that Softbank will invest $2 billion in the company.

The industry looks very different from when Intel was the clear leader. Nvidia and AMD dominate AI and data centers, while TSMC is the dominant foundry. Intel is now cast as the underdog.

The investment case for Intel has fundamentally changed. The stock should no longer be valued solely on its near-term earnings or competitive battles. It must now be viewed as a long-term, strategic asset with a quasi-sovereign backstop, trading near its tangible book value per share of approximately $24.26.

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But Intel isn't the only company to receive CHIPS Act grants. Micron was awarded $6.1 billion as well -- the second-biggest semiconductor subsidy after Intel's. And now we're learning that U.S. Commerce Secretary Howard Lutnick may want to convert that grant into an equity stake as well.

Shining a Spotlight on Intel Intel (NASDAQ:INTC) has emerged from the shadows of its semiconductor rivals, capturing the attention of investors and policymakers alike. After years of struggling to keep pace with competitors like Nvidia (NASDAQ:NVDA) and Taiwan Semiconductor Manufacturing (NYSE:TSM),