US Intel Investment 9-2-25

Major U.S. government investment in AI for 2025 includes a historic, chip-focused equity deal with Intel, large spending requests across the Department of Defense (DoD) and intelligence community (IC), and a new national AI action plan. Specific details on classified intelligence investments are not disclosed to the public, but the focus is on accelerating innovation, building infrastructure, and advancing military and intelligence capabilities.  

Direct investment in Intel and the chip industry

The U.S. government has announced a significant investment in Intel's common stock as part of its strategy to build a resilient domestic semiconductor supply chain. 

·       $8.9 billion stock purchase: On August 22, 2025, the government announced it would take a 9.9% equity stake in Intel.

·       Funded by CHIPS Act and Secure Enclave: The investment is funded by unpaid grants from the Biden-era CHIPS Act ($5.7 billion) and funds from the Secure Enclave program ($3.2 billion).

·       AI infrastructure focus: This move is intended to strengthen the domestic supply of leading-edge semiconductors, which are critical for AI technology and cloud platforms. 

Department of Defense (DoD) AI investments

In 2025, the DoD is making substantial investments to integrate AI into its operations and maintain a competitive advantage. 

·       $1.8 billion for AI programs: The DoD's budget for fiscal year 2025 includes $1.8 billion for AI programs.

·       CDAO funding: The Chief Digital and Artificial Intelligence Office (CDAO) received a budget of $139.9 million to accelerate the use of AI and machine learning in military operations.

·       Focus areas: The investment will support the development of AI-enabled capabilities for:

o   Cybersecurity

o   Autonomous systems and robotics

o   Logistics and predictive maintenance

o   Command and control across domains 

Intelligence community (IC) AI initiatives

While specific AI-related budget details for the IC are classified, investments are guided by several initiatives and are a top priority. 

·       Data Strategy (2023–2025): The IC is working to make data more interoperable and "AI-ready" to accelerate AI adoption across its 18 elements.

·       Analysis and decision-making: The IC is using AI to analyze vast amounts of data and generate actionable intelligence more quickly.

·       Ethics and safety: A priority is ensuring AI systems are ethical, safe, and free of bias. 

New government-wide AI policy

In July 2025, the Trump Administration released "America's AI Action Plan" to guide national AI investment and strategy. 

·       Accelerating innovation: The plan aims to boost U.S. competitiveness in AI by reducing regulatory barriers.

·       Developing infrastructure: The White House announced "Stargate," a partnership aimed at investing $500 billion in AI infrastructure, including data centers.

·       Promoting AI talent: The budget includes funding for a National AI Talent Surge to increase the recruitment of AI-skilled workers in federal agencies. 

Public vs. classified funding

For 2025, there are two separate buckets for AI spending: 

·       Disclosed AI funding: The federal government allocated about $3.3 billion for AI in its budget request, primarily for civilian agencies.

·       Undisclosed spending: Analysts believe a much larger, undisclosed volume of AI-related spending is allocated for classified programs within the DoD and IC. 

The U.S. government's 2025 intelligence investment in AI is primarily funneled through the Department of Defense (DoD) and the broader Intelligence Community (IC), with a total requested budget of over $100 billion. Significant funding and policy direction is provided by the FY 2025 National Defense Authorization Act (NDAA) and White House action plans. 

Key intelligence and defense initiatives

FY 2025 National Defense Authorization Act (NDAA)

·       Expansion of capabilities: The 2025 NDAA directs the DoD to use AI for strategic and operational purposes, including cybersecurity, biotechnology, and optimized workflows.

·       Pilot programs: Several pilot programs were authorized to assess AI's use for national security, including AI-enabled software for manufacturing and contract administration.

·       AI governing council: It expands the authority of the Chief Digital and AI Officer (CDAO) Governing Council to assess potential national security risks from AI models developed by adversaries.

·       Data budgeting: The bill mandates that budgets for AI programs must include specific cost estimates for acquiring and sustaining the data necessary to train and improve the AI models.

·       International cooperation: A working group was established to coordinate AI initiatives with U.S. allies and partners. 

White House AI Action Plan (July 2025)

President Trump's AI Action Plan for 2025 outlines a strategy for federal AI investment and leadership. 

·       Accelerated innovation: The plan directs federal agencies to remove regulatory barriers that could slow down advanced AI adoption.

·       Infrastructure development: A key focus is on building American AI infrastructure by streamlining the permitting of data centers and constructing secure facilities for the military and IC.

·       Deregulation: Executive orders in 2025 rescinded prior actions and focused on removing barriers to American leadership in AI. 

Department of Defense (DoD) AI initiatives

The DoD is executing its own AI programs in addition to the NDAA provisions.

·       AI Rapid Capabilities Cell (AI RCC): The CDAO and Defense Innovation Unit are leading a $100 million initiative to fund pilot projects for generative AI in warfighting, computational sandboxes, and other AI experimentation.

·       Research funding: The DoD is a major driver of overall AI spending, and requested $13.4 billion for AI and autonomous systems in its FY 2026 budget, following significant investment in AI contracts in previous years. 

Intelligence Community (IC) AI strategy

The broader IC is focused on integrating AI into all aspects of the intelligence cycle as part of its "AI-Ready by 2025" strategy. 

·       Data readiness: A core component is the IC Data Strategy for 2023–2025, which aims to make data more interoperable, discoverable, and prepared for AI and machine learning.

·       Interagency collaboration: The plan emphasizes automating and fusing intelligence processes across all 18 IC elements. 

Intel investment

In August 2025, the U.S. government took an $8.9 billion investment in Intel common stock, giving the government a roughly 10% equity stake in the company. 

·       CHIPS Act funding: This investment came partly from unpaid grants under the Biden-era CHIPS Act and other programs.

·       Domestic manufacturing: It is tied to Intel's expansion of U.S. semiconductor manufacturing, which is critical for AI infrastructure and national security. 

https://www.google.com/search?q=us+government+intel+investment+2025+ai

Comments

The US Government investment in Intel recognizes the need to bring Intel up to speed.

In the 1980s, the Government of Japan funded the development of the “Hybrid Engine”.

In 2000, Japan introduced the Toyota Prius Hybrid.

In 2005, Toyota introduced the improved 2005 Toyota Prius Hybrid. It got 60mpg and automatically switched from gas power to battery power when it stopped.

In 2005 I sold my 2 Cadillacs and bought 2 Toyota Prius Hybrids. Maintenance costs have been low, mostly oil changes and they are still running.

I agree with Trump’s decision to invest in Intel.

Norb Leahy, Dunwoody GA Tea Party Leader