Apple and Intel have reached a preliminary agreement under which Intel will manufacture some of the chips for Apple devices, according to the Wall Street Journal, citing sources familiar with the matter. Which specific products will be affected remains unclear. Talks, which have been ongoing for over a year, culminated in a formal agreement in recent months – with political backing from the White House.
Apple is on the verge of one of the most fundamental restructurings of its supply chain since the switch to Apple Silicon. After months of conflicting reports, the company has apparently made a concrete decision to diversify its chip manufacturing – thus solidifying the strategy that analyst Ming-Chi Kuo had already outlined at the end of 2025 with the potential shift of parts of chip production to Intel. What was once speculation has now become an agreement with real implications for iPhone, iPad, and Mac.
An agreement with political momentum
Robbie Whelan and Rolfe Winkler of the Wall Street Journal report that Apple and Intel have reached a preliminary agreement. According to the report, Intel will produce some of the chips for Apple devices. The sources do not specify which products are involved – Apple ships more than 200 million iPhones annually, in addition to millions of iPads and Macs.
The political component is noteworthy: According to a WSJ report, US President Donald Trump personally lobbied for Intel as an Apple partner during a meeting at the White House. Intel is now partly owned by the US government, and the Trump administration is actively working to secure major new contracts for the struggling semiconductor company.
How the deal fits into Apple's strategy
Apple's move towards Intel is not spontaneous, but the result of a months-long strategic realignment. In early May, Bloomberg reported that Apple was simultaneously in talks with Intel and Samsung about manufacturing partnerships to reduce its near-complete dependence on TSMC. Now, at least one of the two agreements has been officially finalized.
The background is complex. Apple has lost its leading position as TSMC's largest customer, a position it held for over ten years, to Nvidia, which is demanding enormous capacity at state-of-the-art manufacturing nodes in the AI boom. At the same time, geopolitical risks surrounding TSMC's Taiwan location are increasing. A second manufacturing option, based in the US, is therefore more than a backup for Apple – it is a strategic necessity.
Mac and iPad as a likely entry point
Previous reports suggested that Intel might initially produce chips for Macs and iPads before expanding the collaboration to the iPhone. Ming-Chi Kuo had projected the start of M-series chip production in 2027, focusing on Apple's Mac and iPad lines. Analyst Jeff Pu expanded this scenario in December 2025 to include a potential iPhone involvement starting in 2028.
This would likely lead to a phased rollout: first the less time-critical Mac and iPad chips, and later – once Intel's foundry division has proven its reliability – the highly sensitive iPhone processors. In any scenario, Apple would remain the chip designer; Intel would merely contribute manufacturing capacity.
What Intel gets out of the deal
For Intel, the Apple contract is potentially a turning point. The company's foundry division has been struggling for years to catch up technologically with TSMC and Samsung. A major customer like Apple would not only be a financial gain, but also a highly visible vote of confidence.
Added to this is the political tailwind. With the US government's stake in Intel and the Trump administration's personal commitment to securing major new contracts, an industrial policy construct is emerging that extends beyond a purely business relationship. Apple's reputation in Washington is likely to benefit significantly from the deal – an aspect that should not be underestimated given the ongoing discussions about tariffs, supply chains, and AI regulation.
The end of the monogamous TSMC era
The Apple-Intel deal is more than just a supply chain adjustment. It marks the end of an era in which Apple had its chip manufacturing practically monogamously tied to a single partner. Even if TSMC continues to handle the majority of production, the balance of power is shifting noticeably.
From our perspective, the deal reveals three main points: First, Apple's dependence on TSMC has apparently become so great that even a partner like Intel, which isn't quite on par technologically, seems acceptable. Second, geopolitical considerations now influence Apple's strategic decisions more directly than just a few years ago. And third, the US government is becoming an active stakeholder in an area where Apple has previously made largely autonomous decisions. Should Intel be able to deliver the quality demanded in the Apple contracts, the global semiconductor landscape is likely to change significantly over the next five years.
Specific details will follow in the coming months
According to the WSJ, concrete details regarding volume, timeline, and affected products are expected in the coming months. If Apple does indeed plan to use Intel-manufactured chips in devices as early as 2027, initial specifications should be forthcoming soon. Until then, it remains unclear whether the collaboration will initially be limited to entry-level M-series chips—or whether Apple will also directly integrate more powerful variants into Intel's production lines.
One thing is clear: the era of the monolithic Apple-TSMC relationship is drawing to a close. What begins as a preliminary agreement could develop into one of the most defining supply chain decisions in Apple's recent history in the coming years. (Image: Shutterstock / asharkyu)
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