Intel shares rose 9% in premarket trading on Thursday after President Donald Trump announced an Apple partnership. Trump said Apple agreed to work with Intel to design and build chips in the United States. The update put focus on Intel’s foundry business after years of delays and market share losses. Apple shares also moved higher premarket, while Intel extended its 12-month rally.
Intel Gains After Trump Announces Apple Chip Deal
Trump announced the deal in a Truth Social post and linked it to his wider plan for U.S. semiconductor production. He said America needed to design and build chips at home, rather than depend heavily on overseas factories.
Intel shares were last up about 9.45% on premarket trading at $132.55. Apple gained about 0.6%, showing a smaller move compared with Intel’s stock reaction. The rally added to a recovery for Intel under CEO Lip-Bu Tan, who took over early last year. Intel’s market value reached about $608.7 billion after a 12-month gain above 460%.
Intel Shares | Source: FinanceYahoo
Intel had struggled for years as rivals moved faster in advanced chipmaking and AI hardware. The company also faced delays in its manufacturing roadmap, which reduced investor confidence in its foundry plans.
Apple Partnership Adds Demand for Intel Foundry Business
Trump said Apple would work with Intel to design and build its chips in America. The announcement did not include chip categories, production volumes, contract size, or a confirmed production timetable.
A formal Apple order would give Intel a major customer for its contract manufacturing arm. That business needs large outside clients to compete with Taiwan Semiconductor Manufacturing Co.
Apple has relied on TSMC for advanced chips used across products such as iPhones, Macs, and iPads. A U.S. arrangement with Intel would support Apple’s efforts to diversify its chip supply chain.
Intel’s foundry unit had mainly produced chips for the company’s own products before outside commitments. Trump also said Nvidia agreed to build first-level chips with Intel.
U.S. Stake and New Technology Keep Intel in Focus
Trump said the government helped Intel in exchange for a 10% stake in the company. He said the stake was tied to efforts to rebuild domestic semiconductor capacity. The administration’s investment was valued at nearly $10 billion when it was announced last year. Trump said Intel’s share price rise had lifted the value of America’s stake above $60 billion.
Trump also mentioned Elon Musk’s TerraFab project, which he described as the world’s largest chip factory. He said the project would use work designed with Intel’s technology team.
Intel said this week that its next-generation 18A manufacturing technology had entered initial production. The company also reported continued demand for its central processing units.
The Apple announcement came as chip stocks remained supported by demand tied to artificial intelligence infrastructure. AI spending has helped sustain interest in chips, servers, power, and data center capacity.
The broader market also faced pressure from Middle East supply issues and higher oil prices. At the same time, demand stayed firm for chipmakers.
Intel now holds a central place in Washington’s push to bring more semiconductor work back to the United States. Apple’s reported role could add a major consumer technology customer to that program.
