Intel CEO gives support for Trump tax policy in company-wide email after White House meeting (INTC)
Intel CEO Brian Krzanich showed his support in a company-wide email after meeting with President Donald Trump on Wednesday.
Intel CEO Brian Krzanich showed his support for President Donald Trump’s tax and regulatory policies in a company-wide email, following a meeting at the White House with the President on Wednesday.
In the email, which was made public by Intel, Krzanich cited the company’s "announcement" that it would finish construction on a $7 billion semiconductor factory in Arizona that Intel began building six years ago. Krzanich said the plant was an "investment in our own future," adding he made the announcement at the White House in part to show support for the Trump administration’s tax reform policies.
"We support the Administration’s policies to level the global playing field and make U.S. manufacturing competitive worldwide through new regulatory standards and investment policies," Krzanich wrote in the email.
The email also touts Intel’s track record of being one of the top two R&D spenders and top five exporters in the US, despite facing certain tax and regulatory hurdles that make Intel "disadvantaged relative to the rest of the world where we compete."
It’s unclear exactly which part of Trump’s policies Intel supports, but Trump is well-known for having made pro-business promises that would slash corporate tax rates and bring cash incentives to R&D-heavy companies. Krzanich has previously spoken about this in a CNBC interview, in which he made it clear he doesn’t support "trade wars" but would welcome lower tax rates and R&D tax credits, among many others.
Kraznich’s visit to the White House comes as many of his tech industry peers, including Google CEO Sundar Pichai and Netflix CEO Reed Hastings, are loudly criticizing Trump’s immigration policies, such as the recent order suspending immigration from several predominantly Muslim countries.
In a statement to Business Insider, Intel’s spokesperson said, "It’s more about policies conducive to the kinds of substantial, long-term investments we make…We join other companies in supporting the administration’s pro-business and pro-investment goals, which encourage long-term investments like this one."
Despite Silicon Valley’s differences with Trump over immigration and other issues, tax and regulatory reform might prove to be an area of common ground. A recent proposal from a group of high-profile tech leaders, including Alphabet executive chairman Eric Schmidt and Qualcomm executive chairman Paul Jacobs, called for stronger policy changes that would protect the US semiconductor industry from outside threats, including Chinese companies.
"We strongly recommend a coordinated Federal effort to influence and respond to Chinese industrial policy, strengthen the U.S. business environment for semiconductor investment, and lead partnerships with industry and academia to advance the boundaries of semiconductor innovation," the proposal said.