Trump Says Apple And Intel To Design And Manufacture Chips In United States
U.S. President Donald Trump said in a post on Truth Social on Thursday that Apple has agreed to work with Intel to design and manufacture its chips in the United States.
The announcement comes as Apple seeks to broaden its manufacturing base and secure additional chip production capacity. At present, the company relies heavily on TSMC, whose advanced manufacturing lines face intense demand from artificial intelligence chipmakers, including Nvidia and AMD.
Apple Seeks Additional Chip Capacity
A partnership with Intel would help Apple diversify its chip production strategy. The iPhone maker has long depended on TSMC for advanced semiconductor manufacturing. However, growing demand for cutting-edge chips has increased pressure on available production capacity.
As a result, Apple has explored options to strengthen its supply chain and reduce dependence on a single manufacturing partner. Working with Intel could provide additional capacity while supporting domestic semiconductor production in the United States.
Earlier reports also pointed to progress between the two companies. In May, the Wall Street Journal reported that Intel had reached a preliminary agreement to manufacture some chips for Apple after more than a year of discussions.
Apple and Intel did not immediately respond to Reuters requests for comment outside regular business hours.
Intel Gains A Major Customer
An agreement with Apple would provide Intel with steady demand from one of the world’s largest consumer electronics companies. Consequently, the deal could strengthen Intel’s reputation and support its manufacturing business.
Intel has faced challenges in keeping pace with TSMC in recent years. Nevertheless, securing business from Apple would represent a significant endorsement of its manufacturing capabilities.
Earlier this week, Intel said that its next-generation 18A manufacturing technology had entered initial production. The company also noted strong demand for its central processing units, highlighting continued interest in its semiconductor products.
U.S. Pushes Domestic Semiconductor Production
The Trump administration has continued efforts to strengthen domestic semiconductor manufacturing and secure critical supply chains.
Last year, the administration took a 10% stake in Intel and announced plans to invest roughly $10 billion in the company to build or expand manufacturing facilities in the United States.
Trump later said he “should have asked for more” of a stake in Intel. His remarks came eight months after the government’s position in the chipmaker grew to a value of more than $50 billion.
Meanwhile, the administration has intensified efforts to secure supply chains for critical minerals and semiconductors. These measures include taking equity stakes in companies as part of a broader strategy to reduce reliance on China and strengthen U.S. production capabilities.
With inputs from Reuters
