Former Intel CEO Gelsinger: U.S. Needs Sovereign Wealth Fund to Match China's Multi-Billion-Dollar Tech Investments

Pat Gelsinger, former CEO of Intel and current general partner at Playground Global, has publicly advocated for the establishment of a U.S. sovereign wealth fund to secure America's leadership in the global technology race. In a recent op-ed published in The Wall Street Journal, Gelsinger asserted that such a fund is crucial for the nation's competitiveness. "We must win the global tech race and a sovereign wealth fund could be our best tool," Gelsinger stated in a social media post, adding, "Technologies like AI, quantum, and semiconductors will define the coming century and America must bring the same level of resources to this endeavor as other countries like China."

Gelsinger argues that traditional private markets are often unable to provide the patient, long-term capital necessary for scaling breakthroughs in critical technologies like artificial intelligence, quantum computing, and advanced semiconductors. He contends that a sovereign wealth fund could bridge this gap, supporting early-stage quantum companies and facilitating the commercialization of technologies developed by national laboratories, ensuring domestic control over these innovations. This approach is presented as a strategic imperative to maintain the U.S.'s technological edge.

The proposal comes amid growing concerns over China's extensive state-backed investments in its tech sector, exemplified by Beijing's National Venture Capital Guidance Fund, which channels tens of billions of dollars into strategic technologies. Gelsinger views a U.S. sovereign wealth fund as a necessary countermeasure to these market distortions. He emphasized that this is not about industrial policy, but about enabling U.S. startups to compete on a level playing field, as many already access foreign sovereign wealth funds.

The call aligns with discussions initiated by President Donald Trump, who in February directed the Treasury and Commerce departments to develop a plan for a U.S. sovereign wealth fund. This fund would aim to promote fiscal sustainability and enhance America's economic and strategic leadership internationally. While critics point to the U.S. budget deficit as a challenge compared to nations like Norway with budget surpluses, Gelsinger maintains the urgency of the matter, stating, "America needs this fund now more than ever."