Apple plans to have some of its future chips designed and manufactured in the United States in collaboration with Intel. U.S. President Donald Trump announced this via his social media platform, Truth Social.
According to Reuters, the partnership could provide a significant boost to Intel’s foundry operations, which have been trying for years to regain ground from market leader TSMC.
According to Trump, both companies have reached an agreement on a joint approach to chip development and manufacturing on U.S. soil. Apple and Intel have not yet officially confirmed the announcement. Further details regarding the scope of the partnership are also lacking at this time.
The move is part of a broader trend in which major technology companies are trying to reduce their dependence on Asian manufacturing locations. Apple currently has TSMC manufacture the majority of its advanced chips. That Taiwanese manufacturer is seeing a sharp increase in demand for its most advanced manufacturing processes, driven by the rise of AI applications and the growing need for specialized chips.
According to earlier reports by The Wall Street Journal, Apple and Intel had been in talks for over a year regarding a potential partnership. A preliminary agreement was reportedly reached in May.
Stable Production Volumes for Intel
For Intel, an agreement with Apple comes at a crucial moment. The company has been investing heavily in its foundry division for years, aiming to produce chips for external customers. A contract with Apple would not only ensure stable production volumes but could also boost confidence in Intel’s manufacturing capabilities.
The announcement also comes shortly after Intel revealed that its 18A manufacturing process has entered initial production. This technology is seen as a key step in the company’s effort to regain its technological footing among semiconductor industry leaders.
The potential partnership also aligns with the Trump administration’s industrial policy. Washington is trying to bring advanced semiconductor production back to the United States and reduce dependence on foreign suppliers. Last year, the federal government acquired a 10 percent stake in Intel, and an investment package of approximately $10 billion was announced to expand U.S. factories.
It is noteworthy that Trump referred to that investment again this week. According to the president, in hindsight, the government should have taken a larger stake in Intel. Due to the sharp rise in the stock price, the existing stake would now be worth more than $50 billion. According to Trump, this surge in value underscores the strategic importance of the U.S. chip industry and Intel’s potential as a pillar of the national semiconductor strategy.
If the partnership with Apple does indeed go ahead, Intel will not only gain a prestigious new customer but also further proof that major chip designers are willing to partially relocate their production to the United States. That would be a significant victory for both Intel and the U.S. government.