Intel Corporation (INTC) has reportedly started manufacturing tests with Nvidia (NVDA) and Broadcom (AVGO), potentially boosting its contract chip-making business. The collaboration is aimed at developing advanced artificial intelligence processors using the 18A process, which could be a game-changer for the company.
According to Intel, there is strong interest in the 18A process among its ecosystem, despite delays and setbacks. This technology is seen as a key factor in turning Intel’s fortunes around and has gained attention from the White House, which aims to boost U.S. chip manufacturing by imposing tariffs on rival companies like Taiwan Semiconductor Manufacturing Co (TSM).
However, rivals TSM and Broadcom are exploring possible deals that could break Intel apart into two separate companies. The Trump administration is considering breaking up Intel’s factory unit, with reports suggesting that TSM might take a majority stake in the operation.
Meanwhile, Nvidia and Broadcom are also examining Intel’s chip-design and marketing business. Analysts have given NVDA a Strong Buy consensus rating, with an average price target of $178.66, implying 43% upside potential for the stock.
Source: https://www.tipranks.com/news/nvidia-nasdaqnvda-and-broadcom-running-intel-chip-tests