Intel's Chips Grant, California Vs. Tesla | Bloomberg Technology

The podcast covers a range of topics, including Intel securing a large federal grant for chip production, the potential impact of Donald Trump's tariff threats on various sectors, California's proposed EV incentives that could exclude Tesla, and the growing AI agent market. The discussion also touches upon the upcoming IPO of Klarna and the evolving FinTech landscape, concluding that a friendlier environment for M&A in 2025 could stimulate the sector.

Intel's Chip Grant

• 00:02:01 Intel received a $7.9 billion federal grant to expand chip production across Arizona, Oregon, and New Mexico. The process took longer than expected due to due diligence and disagreements about disclosure requirements and spin-off scenarios. The grant includes $3 billion for chipmaking for the Pentagon, which was previously allocated for a different purpose.

Trump's Tariff Threats

• 00:11:56 Donald Trump has threatened additional tariffs on key US trading partners, including Canada, Mexico, and China, to extract policy concessions. This could disrupt supply chains, significantly affect auto and tech industries, and potentially lead to retaliatory measures from trading partners. Experts highlight the uncertainty around specifics of the tariffs and potential carve-outs for certain sectors.

California vs. Tesla

• 00:23:48 California Governor Gavin Newsom proposed state incentives for EV buyers, potentially excluding Tesla due to market share limitations. The aim is to spur competition from smaller EV manufacturers. Tesla's Elon Musk called the proposal ‘insane’ and pointed out Tesla's significant presence and employment in California, escalating tensions between Newsom and Musk.

AI Agent OS

• 00:30:55 A new company is raising $56 million to develop an operating system for AI agents, similar to Android for mobile apps. The company believes that AI agents will be the future of computing, aiming to create a platform connecting agents and enabling developers to build on it. Index Ventures leads the funding round, backing the team's expertise in building the Android platform.

Klarna's IPO & FinTech

• 00:33:08 Klarna, a FinTech company, is gearing up for an IPO after a period of valuation adjustments. The IPO is anticipated to be a significant test of the market after a lull in tech IPOs. The podcast discusses the benefits of an IPO for Klarna, including enhanced visibility, liquidity, and a defined stock price, signaling a potential resurgence in FinTech M&A activity in 2025.