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.

Commerce Secretary Howard Lutnick said the Trump administration plans to convert federal funding pledged to Intel Corp. INTC under the CHIPS Act into an equity stake, arguing that taxpayers deserve a return instead of providing “giveaways to rich companies.

Intel stock was down 3.9% after Bloomberg reported that the Trump administration could convert Chips Act grants into a 10% equity stake in Intel.