Intel's fortunes at the beginning of the year looked bleak after CEO Pat Gelsinger was fired because it was seen as causing the company to suffer huge losses due to its failure to compete in the AI arena and uncompetitive product offerings. But since the US government became a 10% shareholder of the company, Intel has received a new lease of life. Today, Intel is believed to be in talks to make AMD their foundry customer, according to a Semafor report.
It is still unknown how much production AMD will transfer from TSMC to Intel if this report proves true. What is certain is that the United States has plans to produce 50% of chips for local needs in the country through the development of a foundry. Taiwan has already said that they will reject the American request to transfer 50% of chip production currently manufactured in Taiwan to the United States.
Two weeks ago, NVIDIA invested $5 billion in Intel for product development focused on PCs, data centers, and artificial intelligence (AI). In less than two months, Intel's foundry business, which does not have enough customers, is now on the verge of successfully making two of its biggest competitors customers.