Intel Reports Joint Venture Agreement with TSMC, Stock Rises

Intel's shares rose significantly following news of a tentative joint venture agreement with Taiwan Semiconductor Manufacturing Company (TSMC), aimed at revitalizing Intel's semiconductor manufacturing capabilities. Under the preliminary deal, TSMC would acquire a 20% stake, while Intel and other U.S. chip firms would maintain majority control. This collaboration is expected to provide Intel with essential chip-making expertise and training, potentially addressing its ongoing financial struggles. The agreement aligns with the Trump administration's push for increased U.S. chip manufacturing capacity, having previously supported efforts to enhance domestic production. Concerns remain within Intel regarding potential layoffs and the impact on its proprietary technology amid ongoing negotiations. The stock's rise reflects investor optimism about the future of Intel's foundry division, as analysts suggest a positive outlook for the company's stock valuation.