Apple is reportedly preparing to re-establish a significant chip manufacturing partnership with Intel, aiming for Intel to produce entry-level versions of its custom Silicon processors.
Intel would manufacture less powerful Apple Silicon chips for devices such as the MacBook Air and iPad Pro. This deal focuses on Intel’s foundry services, meaning Intel would produce the chips, not design them.
The first chips under this renewed collaboration are expected as early as the second quarter of 2027. Intel plans to utilize its cutting-edge Intel 18A, a 2-nanometer process demonstrated with its Panther Lake technology.
The partnership marks a return to active collaboration between the two tech giants. Their previous work together lasted from the mid-2000s until Apple transitioned to its own Silicon chips in 2020.
For Apple, sourcing chips from Intel could offer strategic advantages, including demonstrating a commitment to manufacturing products within the United States. Intel’s Fab 52 factory in Arizona is currently the exclusive production site for chips using the 18A process, aligning with such a domestic manufacturing strategy.
The deal is seen as a potential lifeline for Intel. The company has faced years of challenges in its chipmaking division. Securing Apple as a client for the 18A process could be crucial for generating broader interest in Intel’s advanced manufacturing capabilities and its future 14A technology.
Sources indicate this agreement will not impact Apple’s existing relationship with Taiwan Semiconductor Manufacturing Company (TSMC). TSMC will continue to produce more advanced versions of Apple Silicon.
Despite the new partnership, the overall volume of orders for less powerful Apple Silicon chips, particularly for future MacBook Air and iPad Pro models, is projected to decrease from current levels. Intel, historically focused on x86 architecture, will now actively engage in manufacturing ARM-based hardware for Apple.