Intel forecast stronger-than-expected third-quarter revenue and profit on Thursday, fueled by surging demand for its data-center CPUs amid the agentic AI boom. Shares jumped more than 5% after hours as the company also raised its 2026 capital-spending plans, while lingering hopes of a high-profile manufacturing partnership with Apple continue to intrigue investors.
Reuters:
Intel expects third-quarter revenue between $15.8 billion and $16.8 billion, compared with analysts’ average estimate of $15.1 billion, according to data compiled by LSEG. Adjusted profit is expected to be 38 cents per share, compared with analyst estimates of 27 cents.
On a conference call with analysts, [CEO Lip-Bu] Tan said second-quarter developments prompted Intel to become “fully committed” to high-volume production of chips made with its forthcoming 14A manufacturing technology in 2028. Last year, Intel had warned it might be forced to abandon 14A if it could not find a major customer, which would have effectively put the U.S. out of the race to make the world’s fastest chips.
“I’m pleased to see the increasing momentum on customer engagements for Intel 14A, and I’m increasingly confident that the 14A will be a highly competitive process,” Tan said.
For the second quarter ended June 27, Intel said sales rose 25.4% to $16.13 billion and adjusted profit was 42 cents per share, compared with estimates of $14.42 billion and 21 cents per share. Adjusted gross margin came in at 41.8%, versus estimates of 38.8%…
Intel’s foundry business had $5.77 billion in second-quarter sales, compared with analyst estimates of $5.55 billion.
The unit secured Elon Musk’s Tesla as a customer for its next-generation 14A process for the “Terafab” AI chip project. Expectations of another high-profile win rose in April after President Donald Trump announced that Apple AAPL.O had agreed to make processors with Intel. Neither company has confirmed the deal.
MacDailyNews Take: Reported possibilities for Intel’s 14A node in regard to Apple Silicon (based on preliminary agreements and analyst/rumor commentary, none of which have been officially confirmed by Apple or Intel) include:
• Future iPhone A-series SoCs (e.g., successors around the A21/A22 generation) on 14A, potentially entering production toward the end of 2028.
• Certain M-series chips for Macs and iPads, though some reports lean toward earlier nodes like 18A-P for nearer-term Mac chips (around 2027) and 14A for later or higher-end parts.
The 14A node’s density and efficiency gains would suit Apple’s priorities: packing more transistors for stronger CPU/GPU/Neural Engine performance while keeping power consumption low enough for battery-powered devices. Mobile SoCs (especially iPhone chips) are often mentioned among analysts as a strong fit for new advanced nodes because of their volume and efficiency focus.
Important caveats: No official confirmation exists of which specific Apple Silicon products (if any) would use 14A, the exact mix of chips, or volume. Production is still years out, dependent on Intel successfully ramping the process and meeting Apple’s stringent yield, quality, and capacity requirements. Diversifying away from TSMC is the main strategic motive for Apple reigniting business with Intel.
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