Intel Stock Rises on Potential Tesla Partnership for Custom AI Chips
Intel shares climbed nearly 2% Tuesday afternoon following reports of advanced talks with Tesla to supply 18A process node technology for custom AI chips. The potential deal would complement Tesla's existing partnership with Samsung, diversifying its semiconductor supply chain.
While unconfirmed, the collaboration aligns with Elon Musk's preference for vertically integrated suppliers. Intel's packaging services may also factor into the agreement—a strategic win for the chipmaker amid mounting competition in foundry services.