State Equity in Chip Startups

The federal government is experimenting with taking direct equity stakes in early‑stage semiconductor suppliers (here: up to $150M for xLight) as a tool to secure domestic capability in critical components like EUV lasers. Such deals make the state an active shareholder with governance questions (control rights, exit strategy, procurement preference) and implications for competition and foreign sourcing (ASML integration). — If repeated, government ownership of strategic chip suppliers will reshape industrial policy, procurement rules, export controls, and the line between subsidy and state enterprise.