President Donald Trump said on Thursday that Apple and Intel have reached an agreement for Intel to help design and manufacture chips for Apple in the United States. If finalized, the deal would be one of Intel’s most significant in years and could mark another step in the company’s recovery after years of pressure from rivals.
For Intel, the agreement would secure a major customer and steady demand for its factories. Investors reacted immediately, sending Intel shares up about 7% after the report. For Apple, the move would reduce dependence on a single supplier and expand its production capacity at a time when global demand for artificial intelligence chips is straining manufacturing lines.
Most of Apple’s chips are currently made by Taiwan Semiconductor Manufacturing Company, or TSMC, the world’s largest chipmaker. The heavy demand from companies such as Nvidia and AMD has created bottlenecks, pushing Apple to look for ways to broaden its manufacturing base and lessen its reliance on TSMC.
The announcement also highlights a sharp shift in the relationship between Apple and Intel. Intel supplied processors for Mac computers for roughly 15 years, but Apple moved in 2020 to its own M-series chips, which are made by TSMC and were widely seen as a major success because they improved Mac performance. Trump did not specify which chips Intel would make, but said the deal fits his administration’s effort to strengthen the American chip industry and bring advanced manufacturing back to the United States. Previous reports said the companies have been discussing the matter for more than a year.
