Shares in major semiconductor groups were significantly up in premarket trading on Friday after President Donald Trump posted an enthusiastic message on Truth Social praising Intel and its CEO, Lip-Bu Tan. Intel shares rose 2% in after-hours exchanges on Thursday, before adding more than 2.5% ahead of Friday's open. Other sector players, such as Broadcom (+1.12%) and Micron (+1.32%), also benefited from the spillover effect.
Trump noted that the federal government now holds 10% of Intel following an $8.9bn investment made in August under the CHIPS and Science Act . He said that this stake had already generated "tens of billions of dollars" for US taxpayers in just four months. The deal made the government the company's largest shareholder, with Intel's valuation up 75% since the investment, marking a clear turnaround for the chipmaking giant.
The enthusiasm spread to European markets: shares in ASML, the Dutch supplier of chip-lithography equipment, rose 5%, while ASMI shares added 4.22%. Memory makers, a key component in the development of artificial-intelligence systems, are also extending their stockmarket climb. The entire sector is benefiting from the US administration's explicit support for reshoring advanced chip production, against a backdrop of strong demand driven by the boom in AI.
Intel Corporation is the world leading manufacturer of semiconductor. Net sales break down by family of products and services as follows:
- computing architectures products (69.6%): processors and microprocessors (Pentium, Intel Xeon brands, etc.), graphics cards, chips and motherboards, connectivity products, cellular modems, Ethernet controllers, network components, storage products, etc. for PCs, servers, data centers, cloud networks, workstations, notebooks, Internet of Things, graphics architectures, intelligent peripherals and communications infrastructures. The group also develops associated software;
- wafer manufacturing services (25%): accelerators, monolithic chips, silicon wafers, etc. The group also offers chiplet software and mask manufacturing equipment for advanced lithography;
- other (5.4%).
Net sales (including intragroup) are distributed geographically as follows: the United States (24.5%), China (29.2%), Singapore (19.2%), Taiwan (14.7%) and others (12.4%).
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