Reports have emerged that US semiconductor company Intel has entered into early-stage negotiations to manufacture chips for AMD.


Reuters Yonhap News

Reuters Yonhap News

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On October 1 (local time), US online media outlet Semafor reported that Intel is in discussions to produce AMD chips through its foundry (semiconductor contract manufacturing) division.


The outlet noted that the talks are still in the early stages, and it is unclear how large a volume of chips AMD would contract to Intel. AMD, a competitor of Intel in chips used for PCs and other devices, currently manufactures its chips through TSMC, the world's largest foundry. If AMD begins chip production with Intel, analysts say this could represent a significant achievement for Intel's foundry business, which is seeking major clients. Manufacturing AMD chips could also signal to other semiconductor companies that Intel is capable of producing their chips as well.


Recently, Intel has secured investments from the Donald Trump administration and companies such as Nvidia, and is reportedly discussing investment and cooperation plans with Apple as well.



Following news that AMD is in talks with Intel for chip manufacturing, Intel's share price closed at $35.94 on the New York Stock Exchange, up 7.12% from the previous day.


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