Intel Corp. shares surged nearly 14% on reports the company has signed a preliminary deal with Apple Inc. to produce chips for some of its devices. The Wall Street Journal reports the contract was finalized in recent months after more than a year of negotiations.
According to sources, the deal may extend to supplying processors for the iPad Pro and entry-level MacBook Air, devices currently using Apple's custom M-series chips. Apple is expected to use Intel's advanced 18A node, which recently entered production at Intel's Arizona fab. A key innovation of Intel 18A is its power delivery design, moving wires beneath the transistor to boost performance by reducing interference. Mass production is expected next year.