Intel and Apple Forge AI Chip Partnership, Boosting INTC and AAPL Stocks

Intel Corp. and Apple Inc. have finalized a deal for Intel to manufacture chips for Apple devices, according to a Wall Street Journal report. The agreement positions Intel as a foundational customer for Apple's supply chain, potentially injecting much-needed capital into Intel's burgeoning foundry business. Intel shares surged 15% on the news, while Apple saw a modest 2% gain.

The partnership marks a strategic shift for Apple, which has long relied on Taiwan Semiconductor Manufacturing Co. for its chip supply. Intel's resurgence in semiconductor technology has evidently convinced Apple to diversify its supplier base. Neither company disclosed financial terms or specified which Apple products will feature Intel-made chips, though industry speculation points to Apple's M-series processors for Macs.

This development comes as Intel stock has already gained over 240% year-to-date, outperforming even Nvidia in the red-hot chip sector. The deal could accelerate Intel's comeback in advanced semiconductor manufacturing while giving Apple greater control over its supply chain.