Investing.com — Intel Corporation (NASDAQ:INTC) stock jumped 7.9% on Friday following a report that the chipmaker could begin manufacturing Apple Inc’s (NASDAQ:AAPL) lowest-end M processors as early as 2027, a significant step for the company’s foundry business as it attempts to win back customers.
According to TF International Securities analyst Ming-Chi Kuo, visibility on Intel becoming an advanced-node supplier to Apple “has recently improved significantly.” Kuo noted that Apple has signed a non-disclosure agreement with Intel and obtained the advanced-node 18AP PDK 0.9.1GA, with key simulation and research projects tracking in line with expectations.
The potential partnership would involve Intel manufacturing Apple’s lowest-end M processor, which is primarily used in MacBook Air and iPad Pro devices. These products currently have combined annual shipments of approximately 20 million units for 2025, though Kuo expects this to decrease to 15-20 million units in both 2026 and 2027.
While the order volumes would have “virtually no material impact” on TSMC’s (NYSE:TSM) fundamentals or technology leadership in the near term, the partnership would represent a significant win for Intel’s foundry business.
For Apple, the move would demonstrate support for the Trump administration’s “Made in USA” policy while securing a second source for chip manufacturing beyond TSMC. For Intel, winning Apple’s advanced-node orders would represent a potential turning point for its Intel Foundry Services (IFS) business, despite still trailing TSMC’s capabilities.
The timeline for this partnership remains contingent on development progress, with Apple currently waiting for Intel to release PDK 1.0/1.1, scheduled for the first quarter of 2026, Kuo said.
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