Full Breakdown
Trump Administration Pushes Government Stakes in Private Companies Amid Mixed Public Sentiment
7/20/2026, 8:35:13 PM
Public Opinion on Government Ownership
A CNBC All-America Economic Survey conducted July 8-12, 2026 with 1,000 registered voters found that only 19% consider it appropriate for the federal government to own a portion of U.S.–based companies, while 49% say it is inappropriate and 32% remain undecided. The poll shows a shift from the October 2025 survey, when 56% opposed such ownership. Partisan splits are stark: 66% of Democrats and 34% of Republicans deem the practice unsuitable. Even among self-identified MAGA Republicans, support is split evenly at 31% for and 31% against, with 38% holding no opinion.
Government Equity Deals and Rationale
Since taking office, the Trump administration has negotiated 30 deals valued at nearly $27 billion. The most prominent is the 10% stake in Intel acquired in August (originally funded by an $8.9 billion grant under the Biden administration). That stake has risen 372% and was worth $42 billion as of the latest market close. The administration is also in talks with AI startup OpenAI about a potential equity position when the company goes public. Other investments target national-security assets: the Pentagon backs MP Materials, a domestic rare-earth miner, and issued a $620 million loan to defense startup Vulcan Elements, a firm that previously received investment from a company linked to Donald Trump Jr.
Political Reactions
Senators have voiced caution. Sen. John Hoeven (R-ND) warned, “We have to be careful about that,” adding, “I understand that he sees value in there for the taxpayer and all that.” Sen. Jon Husted (R-OH) echoed the concern, saying, “I’d want to be cautious in this area.” Husted is sponsoring legislation to limit government equity to a maximum of eight years for national-security purposes. Commerce Secretary Howard Lutnick discussed the Intel stake with Senate Republicans, emphasizing taxpayer upside.
Criticism & Opposition
Critics argue that government-backed equity may boost short-term shareholder appeal but could erode long-term competitiveness. The steel sector is cited as a cautionary example, with the U.S. government holding a “golden share” after the 2025 privatization of U.S. Steel by a Japanese firm. A ProPublica report in May alleged White House pressure on the Pentagon to support Vulcan Elements; a White House official dismissed the claim as “fake news on steroids.”
