Apple (AAPL) & Intel (INTC) reach preliminary chip-making deal with Trump administration's backing

The prospective chip-making deal already has the Trump administration's seal of approval.

Apple and Intel have reached a preliminary agreement to develop chips for future Apple devices. The two parties have been in talks for more than a year with talks of a deal intensifying over the last few months. It's also worth noting that the Trump administration, from behind the scenes, has been pushing for this deal to get done.

The news comes from the Wall Street Journal. There is no indication on which Apple devices Intel would develop chips for, but it's likely that this deal would lead to Intel making ARM chips for Apple devices in the future. This would mark a reunion of sorts between Apple and Intel. Apple originally parted ways with Intel in 2018, opting instead to manufacture its own custom ARM chips.

As for the Trump administration's role in this story, the U.S. government took a ten percent stake in Intel (INTC) stock last August. Commerce Secretary Howard Lutnick has been meeting with Apple representatives over the past several months in an effort to get them working with Intel. Lutnick had also previously met with Elon Musk and Jensen Huang to try and bring SpaceX and NVIDIA, respectively, into Intel's orbit.

Representatives from Apple and Intel have not issued comments on Friday's WSJ report.

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