Operations are in trouble, expelled from the Dow. Intel's trouble is far from over, and Washington is increasingly worried about it.

According to media reports on Tuesday, people familiar with the matter revealed that US Capitol Hill's concerns about Intel's business conditions are getting more and more serious. Lawmakers are already secretly discussing how to further bail out Intel, which has previously received (at least) billions of dollars in bailouts from the (Biden) administration.

Intel's recently announced strong quarterly earnings have given it some breathing room, but if Intel's financial situation continues to deteriorate, Washington's concerns will turn into a potential backup option.

People familiar with the matter said that top US Department of Commerce officials responsible for overseeing the operation of funds related to the chip bill and members of parliament such as Mark Warner (the Senate dominates the legislation) have discussed whether Intel needs more help. This discussion is for preventive purposes and shows that Intel's strategic importance cannot be ignored and must not be left in serious trouble. The US is looking for a semiconductor leader to secure its own supply chain.

People familiar with the matter further said that one option is for the private sector to take the lead and possibly receive government support to merge Intel's chip design business with competitors such as AMD or Marvell. But the US government is less interested in the 2008 bailout plan for directly owned automakers and banks, because policymakers are worried that a continued decline in Intel sales will cause losses.

As Intel continues to be in deep trouble, its stock price continues to decline. It fell nearly 3% on Monday, with a cumulative decline of 53% this year.