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Re:

Report: AMD Could Be Intel’s Next Foundry Customer

Semafor reported that AMD and Intel were in early-stage foundry talks in October 2025, but no manufacturing agreement or production terms were confirmed.
From TheFinanceBase Team2 min to read
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AMD may use Intel to manufacture some chips, but no deal has been confirmed. On October 1, 2025, Semafor reported that the companies were in early-stage talks, citing unnamed people familiar with the matter. The report said an agreement might not happen and did not establish what chips, production volume, or investment would be involved.

What was reported about AMD and Intel Foundry?

Semafor’s Rohan Goswami reported on October 1, 2025, that Intel was in “early-stage talks” to add AMD as a customer at its factories. The article cited people familiar with the matter; spokespeople for both companies declined to comment. Read Semafor’s report.

That is evidence of reported discussions, not a signed manufacturing agreement. Semafor explicitly left open the possibility that the talks would not produce a deal. It also said it was unclear how much AMD manufacturing might shift to Intel or whether AMD would invest directly. The report did not identify a chip, process node, production schedule, investment amount, or likelihood of an agreement.

Why might AMD consider Intel as a manufacturer?

Semafor described AMD chips as mostly produced by Taiwan’s TSMC at the time of its October 2025 report. It also assessed that Intel lacked the technology to make AMD’s most advanced and profitable chips. Those are dated descriptions from that report, not confirmation of what AMD could manufacture at Intel or a current assessment of every process capability. Semafor’s account did not specify which products, if any, were under discussion.

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Analysts quoted by Network World discussed possible strategic reasons to consider domestic capacity and supply diversification. Moor Insights & Strategy principal analyst Anshel Sag suggested U.S. manufacturing could matter for defense contracts and supercomputer deals. Forrester senior analyst Alvi Nguyen pointed to local capacity and avoiding competition for limited TSMC capacity. These are analyst interpretations, not stated AMD motives or disclosed deal criteria. Network World’s analysis.

Intel’s foundry ambitions provide context, not confirmation

Intel has said it offers foundry services to outside customers and aims to grow that business. In a later filing, the company said nearly all Intel Foundry business supports Intel’s own products. The filing excerpt available here does not identify AMD as a customer, so it supports Intel’s broader strategy but does not verify AMD’s participation. Intel’s filing.

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What a real manufacturing decision would depend on

Without announced terms, there is no basis for a vendor-by-vendor verdict or a claim that AMD is moving production. A manufacturing choice would turn on practical details that have not been disclosed:

  • Process capability: whether a foundry can make the particular chip to its performance, power, and design requirements.
  • Capacity and resilience: whether production can be secured reliably and diversify supply.
  • Geography: whether manufacturing location matters for customers, contracts, or other business needs.
  • Cost and investment: the price, capacity commitments, and any direct investment required.

The reporting establishes no AMD-specific outcome on any of these factors. Domestic manufacturing and diversification were discussed by analysts, not confirmed as AMD’s selection criteria.

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