This article first appeared on GuruFocus.
Intel (NASDAQ:INTC) shares climbed sharply by 12% on Monday after reports indicated Google and Nvidia are increasingly turning to Intel for advanced chip manufacturing capacity, reinforcing its foundry push, according to a Monday exchange filing amid broader semiconductor volatility and renewed AI infrastructure optimism.
Intel said Google has placed orders to manufacture more than 3 million TPU chips by 2028 after extensive testing of its advanced packaging systems, while Nvidia is running early trials of Intel’s 18A process and evaluating complex multi-chip designs as demand for AI data center components accelerates.
Intel gains investor attention as these developments may strengthen its position against TSMC, with earlier Apple-related foundry engagement also adding to turnaround optimism, as the company seeks to expand its US-based manufacturing role with investors weighing potential competitive shifts across the foundry market.
Intel also expanded partnerships with Hitachi focused on physical AI applications in robotics and industrial systems, while market sentiment remains mixed as analysts maintain cautious ratings despite improving strategic momentum in Intel even as valuation concerns persist across the semiconductor sector global markets.
