TSMC Proposes Joint Venture to Revitalize Intel’s Foundry Operations

The plan involves U.S. chipmakers like Nvidia, AMD, and Broadcom, with TSMC capping its stake at 50% to address U.S. government concerns.

TSMC has initiated discussions with Nvidia, AMD, Broadcom, and Qualcomm to form a joint venture to operate Intel's foundry division, which has been struggling financially.
Under the proposal, TSMC would manage Intel's custom chipmaking facilities while limiting its ownership stake to no more than 50%.
The initiative stems from a request by the Trump administration to bolster U.S. semiconductor manufacturing and support Intel without full foreign ownership of its assets.
Intel's foundry division remains integral to its business, though the company has resisted selling its chip design house separately despite internal disagreements on the TSMC deal.
The proposal aligns with TSMC's broader $100 billion U.S. investment strategy, but the joint venture faces technical, operational, and regulatory challenges before moving forward.