Intel Shares Jump Amid Talks with SK Hynix
Date: 16 September 2026
Overview
Intel Corporation's shares surged approximately 5% in premarket trading, reaching around $102, following reports of discussions with South Korea's SK Hynix regarding the manufacturing of memory chips in the United States. This potential partnership could lead to joint projects with hyperscalers, which are large data center operators, thereby aligning new manufacturing capacity with the demand from these major players.
Context of the Talks
The U.S. government, under the Trump administration, has been advocating for a significant increase in domestic semiconductor production. This aligns with recent moves by major tech companies, such as Apple, which has decided to incorporate Intel-manufactured chips into some of its products, further emphasizing the trend of reshoring semiconductor production.
Potential Scenarios
One scenario being considered involves SK Hynix leasing part of Intel's upcoming manufacturing facility in Ohio. Alternatively, a joint venture could be established, particularly aimed at securing a long-term supply of memory chips for hyperscalers. However, any agreement may face challenges from the South Korean government, which views SK Hynix's memory business as strategically vital.
Intel's Commitment
While Intel has not confirmed the specifics of the discussions, the company has reiterated its commitment to the Ohio manufacturing project and is actively investing in the site's preparation for production. SK Hynix has also stated that it is exploring various options to enhance its global competitiveness, although no formal agreement has been reached yet.
Market Reaction
Since the U.S. government acquired a 10% stake in Intel in August 2025, the stock has seen a remarkable increase, rising more than fourfold. Despite the initial bullish gap in trading, some gains have been retraced, with shares currently hovering around the 50-day EMA at approximately $101. The main resistance level is identified between $105 and $106, where significant price reactions occurred in August. A breakout above this resistance could potentially lead to a rise towards $130, although the stock remains about 25% below its all-time highs.