Wed Sep 18 01:30:00 UTC 2024: ## Intel’s Turnaround Gains Momentum with Amazon Deal and Government Funding
Intel shares soared for the second consecutive day, fuelled by a series of positive announcements signaling a potential turnaround for the struggling chipmaker.
The most significant development is a multi-billion dollar deal with Amazon Web Services (AWS) to co-invest in a custom AI semiconductor. This strategic partnership underscores Intel’s commitment to the rapidly growing AI market and its ability to compete with industry giants.
Adding to the positive sentiment, Intel may receive up to $3 billion in US government funding to produce chips for military applications. This substantial investment signifies government confidence in Intel’s capabilities and its critical role in national security.
These developments, combined with Intel’s previous efforts to revitalize its manufacturing process, suggest a shift towards a more competitive stance. Investors are increasingly optimistic that Intel is finally on the path to recovery, with the Amazon deal particularly seen as a major step in regaining market share.
First Piper 