In a move that would transform the semiconductor industry, Apple reportedly has intentions to collaborate with Intel to produce its entry-level M-series processors starting in 2027. This news is based on the predictions of reputable industry analyst Ming-Chi Kuo, whose estimates on the supply-chain choices of Apple have historically been confirmed. When completed, the partnership would be the first significant collaboration between the two companies since Apple started moving off Intel processors in 2020.
A closer examination of the potential deal, its strategic impact and the impact on the future of Apple devices and Intel manufacturing desires is provided below.
A Significant Shift in Apple’s Chip Strategy
The decision of Apple to turn to Intel to manufacture the chips is an unexpected yet calculated change of direction. After launching Apple Silicon in 2020, Apple has been heavily dependent on TSMC to produce all of its M-series chipsets. A key part of the company’s hardware strategy has been tight vertical integration. It designs its own processors, and TSMC is the only manufacturer that makes them.
But rising global demand for advanced chip manufacturing and a shortage of high-end foundry services are pushing Apple to diversify its supply chain. Intel’s growing role as a possible foundry partner comes at the right time, as the chipmaker is actively looking for outside manufacturing deals through its Intel Foundry Services (IFS) program.
Apple seems to be playing a balancing game by outsourcing lower-end chips to Intel, probably the ones that drive such devices as the MacBook Air and iPad Air, thus preserving high-performance production with TSMC.
Intel’s 18A Process: A Bid for Leadership
A central part of the collaboration is Intel’s next-generation 18A manufacturing process, which is expected to play a key role in Intel’s attempt to reclaim technological leadership from TSMC and Samsung. The 18A node promises improvements in transistor efficiency, performance per watt, and density—qualities Apple requires for its high-efficiency, low-heat ARM-based systems-on-chip.
For Intel, winning a contract from Apple would be a monumental endorsement of its manufacturing comeback. Apple is not only one of the world’s largest chip buyers but also one of the most demanding. Securing a slice of Apple’s production could give Intel significant leverage in attracting additional foundry customers and reaffirm its goal of becoming the world’s second-largest external manufacturer by 2030.
Although the 18A process is yet to enter the pre-production phase, Intel has continued to insist that it is still on track to be ready by 20252026. Assuming that in 2027, Apple is set to start distribution of the devices with Intel-manufactured chips, that fits the typical multi-year cycle of chip development, requiring design validation, manufacturing preparation, and testing.
What This Means for Apple Devices
Should the partnership move forward, Apple’s entry-level laptops and tablets could begin incorporating Intel-manufactured chips from early 2027 onward. These processors would likely belong to the lower-tier M-series lineup—successors to the current M1, M2, and M3 chips used in the MacBook Air and iPad Air.
Apple is expected to ship about 15–20 million of these devices each year. This will give Intel a major manufacturing contract. For Apple users, the shift would likely be seamless, as the chip design would still be wholly Apple’s own. The primary change would occur on the fabrication side, not in architecture or performance expectations.
The relocation may also allow Apple to minimize the congestion of the supply-chain during peak demand cycles such that the company is able to sustain its steady inventory levels and proceed to innovate as always. Also, the use of U.S.-based resources of Intel will fit the growing trend toward localization of key supply-chain operations by Apple in the face of rising geopolitical uncertainty and escalating export restrictions.
A Reconnection After a Major Split
The collaboration between Apple and Intel lasted over a decade, during which Intel served as the power source to almost all Macs since 2006 and until the Apple Silicon transition in 2020. That move was a major setback to Intel in its market dominance in high-performance processors in laptops.
Such a possible transaction indicates a new form of relations, one in which Intel is no longer a supplier of x86 CPUs to Apple, but a manufacturing ally of Apple-designed ARM chips. That is, the two companies would work together without rival architectures, removing the tension that characterized the last years of their last relationship.
According to industry experts, this alliance is a win-win situation. To Apple, it makes it less reliant on TSMC. In the case of Intel, it introduces high-volume and high-visibility business into the company at a time when it is struggling to reinvent itself as a global foundry leader.
Implications for the Semiconductor Industry
Should Apple eventually move to have chip production diversified among a variety of foundries, it would have the potential to prompt wider industry transformation. TSMC has had a long and almost exclusive relationship with Apple, and the introduction of Intel is a new dynamic. This could encourage other smartphone and PC manufacturers to diversify as well, especially as geopolitical pressures increase and demand for advanced nodes continues to soar.
Moreover, Intel’s success in producing Apple Silicon could accelerate onshoring trends within the U.S. semiconductor ecosystem. With federal support flowing through the CHIPS and Science Act, Apple manufacturing domestically would be a strong signal to the rest of the industry.
Intel’s entry into top-tier ARM chip production also positions it to compete more effectively against TSMC and Samsung, both of which dominate leading-edge semiconductor fabrication. A validated 18A process with Apple as a customer could place Intel at the forefront of the next generation of chip manufacturing.
A Partnership That Could Reshape Future Devices
Apple’s reported decision to outsource a portion of its M-series production to Intel marks one of the most significant supply-chain shifts in years. It underscores Apple’s desire to diversify its fabrication partners, Intel’s push to become a world-class foundry, and the evolving nature of global semiconductor competition.
Assuming that the collaboration goes as planned, it will not just rekindle the lifeless relationship between two technology giants, but will also shape the future of chip fabrication, device performance and supply-chain strategies throughout the industry. The next few years will show how disruptive this collaboration can be to both the companies, as well as to millions of users worldwide, with mass production scheduled in 2027.