The US government is in talks with Intel to potentially invest in the chipmaker, causing a 7% rise in Intel’s shares. Intel may need outside support for fab buildouts and chip production to remain competitive. The meeting between Intel’s CEO and President Trump seems to have been productive. Bloomberg mentions potential investment in Intel’s Ohio fabs.

Maintaining a fair value estimate of $21 for Intel, analysts are uncertain about the likelihood of a deal with the US government. However, investors see this news as positive for Intel. The best-case scenario would be financial support for fab buildouts, either from partners or the government. Intel’s next-gen chip production in Ohio hinges on securing enough orders from customers.

Read more at Morningstar: A US Financial Stake in Intel Would Be Good for Shareholders