TSMC, the world’s leading chip manufacturer, has approached several United States-based chip designers for a new joint venture to oversee operations for Intel factories, according to a new report. If the deal goes through, TSMC, which is based in Taiwan, will take over half of Intel’s foundry division, reportedly at the request of President Donald Trump’s administration.
Reuters revealed that, via sources, TSMC has approached Nvidia, AMD, Broadcom, and Qualcomm about a potential joint venture to run half of Intel’s foundry division, which creates a variety of chips made for specific customer needs. Intel’s stock price, which has been nosediving since last year, saw a spike in the market on Wednesday (March 12) after the Reuters report went wide.
In the ongoing tech wars surrounding the rapid development of AI tools and the items needed to run the massive computing demands of said programs, Intel’s stake in the chipmaking game was widely report to be slipping and reports point to the fact other chipmakers have far outpaced the one-time giant of the space, especially Nvidia in this case.
The outlet also learned via sources that the Trump administration formally requested that TSMC lend its expertise to rescue Intel from floundering further as President Donald Trump and his “America First” agenda continue to take shape across the nation. The prevailing thought is that this would be a beneficial partnership, albeit a reluctant one, as Trump has been clear in wanting the United States to be a leader in manufacturing its tech goods and passing premiums on other countries via tariffs and the like.
The deal would give TSMC a 50% stake and no more than that, but it would need to be approved by President Trump. The outlet adds that, via a quartet of sources, the deal would face some requisite challenges as TSMC has vastly different operating rules than Intel.
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