According to four people who talked to Reuters about these private discussions, TSMC might run part of Intel's chip factories. The deal would keep TSMC's share under half the business and possibly give pieces to big American chip designers like AMD, Broadcom, NVIDIA, and Qualcomm. This idea came after the Trump administration stepped in directly because they wanted more chips made in America but with Americans staying in charge of key tech.
The plan would split off Intel's manufacturing arm as Intel Foundry. TSMC would buy less than half and bring other companies along as investors. Interestingly, Apple, which buys more from TSMC than anyone else, hasn't joined these early talks yet. This suggests careful positioning among competitors as the parties explore possible teamwork.
Anyone trying to make this deal work faces big problems. Intel's factories and land cost about $108 billion, requiring huge amounts of money from partners. Even more challenging, Intel and TSMC build chips totally differently, using different equipment setups and materials. These technical differences create massive headaches for anyone trying to combine their operations.
These complicated talks remain at an early stage, with technical, money, and government approval issues standing in the way before any official agreement happens. Intel still hasn't clearly approved rumors about spinning off parts of their business. The outcome remains uncertain as these major chip companies consider reshaping the industry's manufacturing landscape.
The plan would split off Intel's manufacturing arm as Intel Foundry. TSMC would buy less than half and bring other companies along as investors. Interestingly, Apple, which buys more from TSMC than anyone else, hasn't joined these early talks yet. This suggests careful positioning among competitors as the parties explore possible teamwork.
Anyone trying to make this deal work faces big problems. Intel's factories and land cost about $108 billion, requiring huge amounts of money from partners. Even more challenging, Intel and TSMC build chips totally differently, using different equipment setups and materials. These technical differences create massive headaches for anyone trying to combine their operations.
These complicated talks remain at an early stage, with technical, money, and government approval issues standing in the way before any official agreement happens. Intel still hasn't clearly approved rumors about spinning off parts of their business. The outcome remains uncertain as these major chip companies consider reshaping the industry's manufacturing landscape.
