Stock market today: Dow, S&P 500, Nasdaq futures in holding pattern rush of retail earnings rush in view

With chatter today that the government is nearing taking a 10% stake in Intel, I guess I shouldn’t be shocked the bruised tech giant is hoping to gain some Street cred on its future product roadmap by tapping Softbank and Masa for cash. Embattled Intel CEO Lip Bu Tan also gains a Trump friend in Masa.

Softbank will invest $2 billion in Intel at $23 a share.

“Semiconductors are the foundation of every industry. For more than 50 years, Intel has been a trusted leader in innovation. This strategic investment reflects our belief that advanced semiconductor manufacturing and supply will further expand in the United States, with Intel playing a critical role,” Softbank chair and CEO Masayoshi Son said in a statement.

Added Intel CEO Lip Bu Tan, “We are very pleased to deepen our relationship with SoftBank, a company that’s at the forefront of so many areas of emerging technology and innovation and shares our commitment to advancing U.S. technology and manufacturing leadership. Masa and I have worked closely together for decades, and I appreciate the confidence he has placed in Intel with this investment.”

It’s still something to see this unfolding at Intel, which has billions in cash and is in no means in a financial death spiral. Given Masa’s close ties to the Trump administration, I suspect the government stake announcement could next. None of this is a good signal on Intel’s turnaround, bottom line.

A Trump administration spokesperson didn’t return my request for comment.