Catenaa, Tuesday, February 18, 2025 – Broadcom and Taiwan Semiconductor Manufacturing Co. (TSMC) are exploring separate deals that could split Intel Corp., the Wall Street Journal reported.
The chip-making giants are reportedly considering moves to divide Intel’s operations. Broadcom is eyeing Intel’s chip design and marketing business, while TSMC is exploring a potential stake in some or all of Intel’s manufacturing plants.
These discussions, however, remain in the early and informal stages.
Intel’s interim executive chairman, Frank Yeary, is reportedly leading talks with potential suitors while also engaging with US government officials.
The Trump administration has expressed concern about the potential foreign takeover of Intel’s US-based factories, which are viewed as crucial to national security.
Broadcom, in particular, has been looking into partnering with another entity to take over Intel’s manufacturing operations. Meanwhile, TSMC, the world’s largest contract chipmaker, has considered teaming up with an investor consortium to take control of Intel’s production facilities.
Both companies have not publicly confirmed the discussions, and Intel, Broadcom, TSMC, and the White House have yet to comment on the report. The White House is said to oppose foreign ownership of Intel’s US factories, although it supports foreign investment in US manufacturing.
The deal discussions come as Intel has faced challenges in its capital-intensive strategy to boost manufacturing. After the ousting of former CEO Pat Gelsinger, Intel’s shares plummeted by about 60% last year, leading to significant layoffs.
