Intel stock surged 7% on June 18 after President Donald Trump announced the semiconductor company had agreed to a deal with Apple to design and build chips in the United States, marking a major win for Intel’s foundry comeback strategy.
“Apple has agreed to work with Intel to design and build its Chips in America,” Trump said in a post on Truth Social. Intel shares rose in premarket trading following the announcement, which was confirmed by the Wall Street Journal, CNBC, and Reuters.
The Apple partnership is not entirely new. According to the Wall Street Journal, Apple and Intel reached a preliminary agreement in May 2026 after more than a year of discussions. The formal announcement by Trump on June 18 signals that the deal has moved forward, with Apple committing to use Intel’s manufacturing capacity for some of its future devices.
For Apple, the agreement represents a strategic shift to reduce its heavy dependence on Taiwan Semiconductor Manufacturing Company (TSMC). The deal allows Apple to diversify its chip supply chain as it seeks additional manufacturing capacity amid growing AI-driven demand for semiconductors.
The announcement caps a remarkable turnaround for Intel, which has struggled for years after losing its dominant position in chip manufacturing to competitors like TSMC. Intel stock has surged 464% over the past 12 months and is up approximately 228% year-to-date in 2026, according to CNBC and 24/7 Wall Street, driven by optimism around the company’s foundry strategy and a series of high-profile customer wins.
Intel’s foundry business—which manufactures chips for external customers rather than solely for its own products—had largely sat dormant for years. But CEO Lip-Bu Tan, who took the helm in early 2025, has revived investor interest by securing commitments from major tech companies. Trump highlighted two other major deals in his announcement: Nvidia agreed to build its first-generation chips with Intel, and Elon Musk’s SpaceX agreed to work with Intel on TerraFab, described as the largest chip factory in the world.
The Trump administration has been a driving force behind Intel’s resurgence. In August 2025, the U.S. government invested $8.9 billion in Intel stock, acquiring a 10% stake in the company. Trump framed the Apple deal as part of a broader effort to restore U.S. chip manufacturing. “Stupid Presidents took our Economy for granted, and let Taiwan and others steal our Semiconductor Factories,” Trump wrote, adding that he decided to help Intel “because we need to design and build our Chips right here in America.”
Nasdaq’s PHLX Semiconductor Sector Index, which tracks the 30 largest U.S.-traded chip companies, is up 90% so far in 2026, according to CNBC. Intel’s gains have outpaced the broader sector as investors bet on the company’s ability to execute on its foundry ambitions and capture market share in the capital-intensive business of manufacturing advanced semiconductors for third parties.
Sources
- CNBC — Intel stock surge, Trump’s announcement, Intel’s 464% 12-month gain, Nvidia and TerraFab deals, sector performance
- Wall Street Journal — Preliminary Apple-Intel agreement in May 2026, Trump administration’s role in the deal
- Reuters — Confirmation of Trump’s announcement and Apple-Intel partnership
- 24/7 Wall Street — Intel stock year-to-date performance and 228% gain figures
- Investing.com — Context on Apple’s TSMC diversification strategy
