Trump announces Apple–Intel partnership to boost U.S. chip production

Current U.S. President Donald Trump announced on Thursday through a post on Truth Social that Apple has agreed to collaborate with Intel

Current U.S. President Donald Trump announced on Thursday through a post on Truth Social that Apple has agreed to collaborate with Intel on the design and manufacturing of semiconductor chips within the United States. The reported partnership marks a significant development in the country’s efforts to strengthen domestic chip production and reduce dependence on overseas manufacturing.

For Apple, working with Intel provides an opportunity to diversify its chip manufacturing network. The technology giant currently depends heavily on Taiwan Semiconductor Manufacturing Company (TSMC), which produces the majority of Apple’s advanced processors. However, TSMC’s manufacturing capacity has become increasingly constrained due to soaring demand from artificial intelligence companies and major chip customers such as Nvidia and AMD. By adding Intel as a manufacturing partner, Apple can secure additional production capacity while reducing supply chain risks.

Apple and Intel had been engaged in discussions for more than a year before reaching a preliminary agreement. While neither company immediately responded to requests for comment following Trump’s announcement, industry analysts view the deal as potentially beneficial for both organizations.

For Intel, securing Apple as a customer represents a major achievement. The company has faced intense competition in recent years, particularly from TSMC, which has established itself as the world’s leading contract chip manufacturer. An agreement with one of the largest consumer electronics companies in the world would provide Intel with a reliable stream of business, strengthen confidence in its manufacturing capabilities, and enhance its reputation within the semiconductor industry.

The announcement comes shortly after Intel revealed progress on its next-generation manufacturing technology known as 18A. Earlier this week, the company stated that the advanced process had entered its initial production phase. Intel also noted that demand for its central processing units remains strong, reflecting growing interest from customers seeking high-performance computing solutions.

The potential Apple partnership aligns with broader efforts by the U.S. government to expand domestic semiconductor production. Last year, the Trump administration acquired a 10% ownership stake in Intel and unveiled plans to invest approximately $10 billion to support the construction and expansion of semiconductor manufacturing facilities across the United States. The initiative was presented as part of a larger strategy to strengthen the nation’s technological independence and manufacturing capabilities.

Trump has previously commented on the government’s investment in Intel, noting that he believed the administration could have negotiated an even larger ownership position. His remarks came after the value of the government’s Intel stake reportedly increased substantially, exceeding $50 billion within eight months.

More broadly, the administration has intensified efforts to secure critical supply chains involving semiconductors and essential minerals. Policymakers have expressed concerns about reliance on foreign suppliers, particularly China, for strategic technologies and materials. As a result, the government has pursued various measures, including direct investments and equity stakes in key companies, to encourage domestic production and enhance economic and national security.

If finalized and successfully implemented, the Apple-Intel partnership could become an important milestone in the ongoing effort to rebuild America’s semiconductor manufacturing industry while providing long-term benefits for both companies and the broader technology sector.