Intel secured a major boost on Monday after Japan’s SoftBank announced a $2 billion investment in the U.S. chipmaker, marking a significant show of confidence in the struggling company.
SoftBank will acquire Intel shares at $23 each, just below Monday’s closing price of $23.66. The stock jumped nearly 6% in after-hours trading to $25 following the news. The purchase gives SoftBank roughly a 2% stake, making it Intel’s fifth-largest shareholder, according to FactSet.
Intel CEO Lip-Bu Tan, who took over in March, welcomed the backing, praising SoftBank founder Masayoshi Son as a longtime partner. The investment comes as Intel battles to regain relevance in advanced semiconductors amid the AI boom. Despite its heavy spending on chip manufacturing, its foundry unit has yet to secure a major customer.
Intel’s challenges have been stark: its stock plunged 60% last year, the worst in its history, though it has rebounded 18% in 2025. The company remains a key focus in Washington as the only U.S. firm capable of producing cutting-edge chips. Reports suggest the U.S. government may even take an equity stake.
For SoftBank, the move deepens its presence in semiconductors and AI. The conglomerate owns chip designer Arm, now worth nearly $150 billion, and is acquiring Ampere Computing for $6.5 billion. It also recently led a record $40 billion investment into OpenAI as part of its broader AI infrastructure push.