When you purchase through links on our site, we may earn an affiliate commission.Heres how it works.
The new venture would operate Intel’s foundries and TSMC would take 20% stake in the new company.
Reportedly, Intel and unnamed other U.S. semiconductor companies would hold the rest of the shares.
This would be instead of just providing funding via capital.
The report notes that discussions are ongoing and have not been finalized as of this writing.
Things could change quickly between now and a formal agreement.
Intel resistance
One hold up might be from the Intel side of things.
Those layoffs included a significant chunk of Intel’s R&D department.
And it has publicly backed Intel several times.
Trump is eager to bring chip making back to the U.S.
According to The Information, his administration may have initiated talks between the two chip manufacturers.
TSMC hasrecently increased investmentsin the U.S. including at its Arizona facility that makes some Apple chips.
Last year, theBiden administration considered direct cash infusionsand potentially forcing a merger withAMDhelp Intel.
Often, this creates lower costs that companies like Intel have struggled to compete with.
This deal could irrevocably alter Intel’s future.
Again, the deal is only in preliminary stages and could change drastically between now and a formal deal.
Or it could fall apart due to internal Intel resistance.
