Intel Stock Soars on Rumors of Apple Chip Manufacturing Deal

Intel‘s share price surged dramatically today. The jump followed a major analyst report about a potential deal with Apple. According to supply chain expert Ming-Chi Kuo, Intel could soon make chips for Apple’s Macs and iPads.

This marks a pivotal moment for Intel’s business strategy. The company has been working to become a contract chip manufacturer for others. Securing Apple as a client would be a huge validation of that effort.

Details of the Potential Apple-Intel Partnership

The report suggests Intel would manufacture Apple’s entry-level M-series processors. These chips are used in products like the MacBook Air. Production could start by mid-2027 using Intel’s advanced 18A-P manufacturing technology.

This partnership would help Apple diversify its supply chain. Currently, Taiwan Semiconductor Manufacturing Company (TSMC) makes all of Apple’s advanced chips. Adding Intel as a supplier reduces geopolitical risk.

For Intel, the deal is about proving its technology. The company has invested billions in new manufacturing plants. A win with Apple shows other companies that Intel Foundry Services is a competitive option.

Why This News Is a Game-Changer for the Industry

The semiconductor landscape is highly concentrated in Asia. Intel’s potential resurgence as a U.S.-based foundry player is significant. It aligns with broader government efforts to onshore critical chip production.

According to Reuters, such a shift would bolster American semiconductor independence. The U.S. CHIPS Act has already provided Intel with substantial subsidies. This funding is meant to rebuild domestic manufacturing capacity for national security.

For consumers, a competitive foundry market could spur innovation. More competition often leads to better performance and pricing over time. It also makes the global tech supply chain more resilient to disruptions.

This potential Apple deal represents the most tangible sign yet that Intel’s ambitious turnaround plan is working. The surge in Intel stock reflects a renewed belief in the company’s future as a foundry powerhouse.

Thought you’d like to know

Q1: What exactly did the analyst report say?

Analyst Ming-Chi Kuo reported that visibility for Intel to become an Apple supplier has “improved significantly.” He predicted production of low-end M-series chips could begin in the second half of 2027 using Intel’s 18A-P node.

Q2: How much did Intel’s stock actually go up?

Intel shares jumped between 7% and 10% in trading following the report’s publication. This pushed the stock to its highest level in about a month, continuing a strong year-to-date performance.

Q3: Has Apple or Intel confirmed this deal?

No official confirmation has come from either Apple or Intel. The news is based solely on analyst Ming-Chi Kuo’s supply chain sources. Both companies typically do not comment on future supplier relationships.

Q4: Why would Apple choose Intel over TSMC?

Apple likely seeks to diversify its supply chain for risk management. Relying on a single manufacturer, especially one located in a geopolitically tense region, presents a long-term strategic vulnerability that diversification solves.

Q5: What is Intel’s 18A-P manufacturing technology?

It is Intel’s most advanced chipmaking process, described as a sub-2-nanometer node. It represents the company’s bid to regain a leadership position in semiconductor manufacturing after years of falling behind rivals like TSMC.

Q6: What are the risks that this deal might not happen?

Key risks include Intel missing its technical performance or production yield targets. Furthermore, shifting business priorities at Apple or changes in the broader semiconductor market could alter the deal’s feasibility before 2027.