intel The stock held steady gains in pre-market trading on Monday after surging on Friday when analysts predicted the semiconductor giant was close to striking a supply deal. apple In 2027.
Intel stock rose 10% on Friday after TF International Securities analyst Ming-Chi Kuo posted on X that he expects Intel to start shipping its lowest-end M processors to Apple as early as the second or third quarter of 2027.
He said the latest industry research shows that “Intel’s likelihood of becoming Apple’s advanced node supplier has increased significantly recently.”
Intel stock was down 0.59% in early trading as of 6:26 a.m. ET on Monday.
Kuo added that the timeline for the partnership is expected to be in early 2026, depending on the development process after Intel releases a process design kit (a blueprint for Apple engineers to build chips).
Silicon chips for Apple’s iPhone, iPad, and Mac products are currently supplied by the following companies: TSMC.
In his post, Kuo downplayed the potential impact of the Intel-Apple partnership on the Taiwanese chipmaker, saying that Apple is expected to remain “heavily dependent” on the company’s advanced nodes “for the foreseeable future.”
“In absolute terms, the order volume for the lowest-end M processors is relatively small and will not have a materially significant impact on TSMC’s fundamentals or technology leadership for years to come.”
Kuo added that the deal with Intel signals Apple’s strong support for the Trump administration’s push to have its companies manufacture in the United States.
Neither Intel nor Apple immediately responded to requests for comment from CNBC.
“If Intel is successful, it has the potential to capture more volume and value of business from Apple.”
Intel’s stock price has rebounded over the past 12 months after years of decline. The stock price fell to $17.66 in April, but has rebounded over the past few months.
Paul Markham, investment director at GAM Global Equities, told CNBC: “Apple is a potential key reference customer and its presence supports Intel’s high-performance foundry products.”
“If Intel can pull it off, it could win more volume and value of business from Apple, such as producing CPUs for the iPhone, and potentially from other big chip designers as well.”
Intel’s relationship with Apple has had its share of ups and downs since 2005, when Intel first announced that its processors would be included in some products. The iPhone maker moved away from its processors in the early 2020s.
Intel was the subject of a lawsuit filed last week by TSMC, alleging that one of its former senior vice presidents leaked “confidential information” to the company. Intel did not immediately respond to CNBC’s request for comment at the time.
