Apple Will Join Forces with Intel to Manufacture Chips in the US

US President Donald Trump announced that Apple has agreed to work with Intel to design and manufacture its chips in the United States. He disclosed the agreement in a post on Truth Social.

The partnership will help Apple diversify its manufacturing base as it seeks additional chip capacity. The company relies heavily on Taiwan’s TSMC, whose advanced production lines are in high demand from artificial intelligence chipmakers such as Nvidia and AMD.

Intel reached a preliminary agreement to manufacture some chips for Apple after more than a year of discussions, the Wall Street Journal reported in May. Neither company immediately responded to a Reuters request for comment outside regular business hours.

For Intel, an Apple contract would provide steady demand from one of the world’s largest consumer electronics companies, boosting both its reputation and a manufacturing business that has lagged behind TSMC in recent years. Intel also said this week that a new generation of its 18A manufacturing technology had entered initial production.

Last year, the Trump administration acquired a 10% stake in Intel and announced plans to invest roughly $10bn in the chipmaker to build or expand US factories. The administration has also stepped up efforts to secure domestic supply chains for critical minerals and semiconductors, including taking equity stakes in companies to reduce reliance on China.

(Reuters, bak)