WSJ, "Intel requests equity investment from TSMC following Apple"

Intel in crisis, desperate struggle for survival

NVIDIA has already decided to invest

The pride of the U.S. semiconductor industry, Intel, reportedly requested an "investment and manufacturing partnership" from Taiwan foundry company TSMC following Apple, the Wall Street Journal (WSJ) reported on the 25th (local time).

That day, the WSJ said, "Intel's partnership request was underway and accelerated after last month's Donald Trump administration's acquisition of an Intel stake." The Trump administration announced it will provide 8.9 billion dollars (about 12.5 trillion won) to Intel and purchase new common stock equivalent to a 9.9% stake. The administration's payment for the Intel shares will be covered by the unpaid portion of 5.7 billion dollars of grants approved under the Chips Act and 3.2 billion dollars of grants allocated under the Department of Defense's 'security semiconductor independence' program.

Last month, Japan's SoftBank Group announced it had signed a deal to acquire 2 billion dollars (about 2.8 trillion won) of Intel shares. Earlier this month, AI semiconductor powerhouse NVIDIA decided to invest 5 billion dollars (about 7 trillion won) in Intel to hold about a 4% stake and to cooperate on technology including joint chip development.

Bloomberg News also reported yesterday, citing sources, that Apple and Intel discussed close cooperation. It said the discussions are in the early stages and may not lead to an agreement. Apple used Intel chips as CPUs for Mac computers for years, but switched to its own in-house designed 'M' series chips a few years ago. iPhones also use Apple-designed application processors (AP).

The WSJ said, "Such news has raised hopes that Intel can regain its former glory," but added, "Questions remain about whether it can meet the production and performance standards required by customers and how to most effectively achieve the long-studied separation of the manufacturing division."

Reporter Hwang Jeong-su hjs@hankyung.com