The Trump administration's plan to convert Intel's government grants into a 10% equity stake raises doubts about solving the chipmaker's core issue: its struggling foundry business. Intel Foundry lost $3.1 billion in Q2 and missed major contracts. Analysts argue Intel needs to improve customer service, not just funding, to recover. The deal dilutes shareholders and risks international backlash, as 76% of Intel’s revenue comes from outside the U.S.