New York, June 10, 2026, 04:12 (EDT)
- Intel shares finished Tuesday at $107.92, falling 2.1%. The stock had surged 11.2% Monday following reports Google placed an AI-chip order.
- The report would boost Intel Foundry, though Reuters said it hasn’t confirmed it, and Intel would not comment.
- Nasdaq premarket was open at the time of writing, with the regular session set for a 9:30 a.m. Eastern start.
Intel shares slipped Tuesday, pulling back after a rally tied to Google news. Investors weighed the latest drop in tech stocks with a possible big win for Intel’s contract chip unit.
The shares settled at $107.92, dropping 2.13%. They moved between $114.00 on the high end and $99.46 on the low. On the previous day, the stock had surged 11.19%, so across both sessions, the price remains up almost 9%.
Intel’s stock is now tied to a single issue: can its foundry business compete with Taiwan Semiconductor Manufacturing Co. The foundry unit builds chips for other companies. Investors are reassessing the story on that part of the business.
Google has put in an order with Intel for over 3 million tensor processing units for 2028, The Information said, cited by Reuters. TPUs are chips designed for AI jobs. Reuters added that Nvidia is still looking at Intel tech for a processor that would include four graphics chips, but there isn’t an Nvidia order yet.
Reuters said it was unable to independently verify the report. Intel had no comment. Alphabet and Nvidia did not answer Reuters requests for comment right away.
The news hit as the market looks for signs that Intel’s foundry business can attract customers besides itself. Jacob Bourne, a tech analyst at eMarketer, said this shows “AI’s biggest players are racing to diversify” away from supply chains built around TSMC. D.A. Davidson’s Gil Luria said backing Intel also means backing “U.S.-based manufacturing,” and linked the move to how companies deal with Washington. Reuters
Cadence Design Systems and Intel Foundry announced they are expanding their work together on Intel’s 14A process, which is new manufacturing tech. They said the push covers design technology co-optimization—basically fine-tuning chip design and manufacturing side by side—and production-ready process design kits, which are needed before moving a chip project into fabrication.
Cadence CEO Anirudh Devgan said the expanded tie-up with Intel is a “major milestone for both companies.” Naga Chandrasekaran, who leads Intel Foundry, said the deal shows Intel’s work on its tech roadmap and broader customer ecosystem. Business Wire
Selling hit the market later Tuesday. Reuters said the S&P 500 eased 0.26% and the Nasdaq Composite lost 0.97% as earlier tech gains fizzled. The Philadelphia Semiconductor Index gave up 1.9% after trading higher earlier, and Nvidia ended down 0.2%.
Intel shares faced mixed forces. The stock has a clear catalyst, but chip buyers are dialing back risk after a strong AI rally. Michael O’Rourke, chief market strategist at JonesTrading, called some of the day’s selling a “momentum unwind,” Reuters said. Reuters
The risk is straightforward. If Intel’s Google order gets delayed, ends up smaller, or doesn’t bring in profitable foundry business, the stock could lose an important driver. Reuters reported Nvidia hasn’t ordered. Investors are still waiting for Wednesday’s U.S. inflation numbers, which could sway rate bets and valuations for chipmakers.
Wednesday’s regular session is shaping up as a test for investors, who have to decide if Tuesday’s fall is just routine profit-taking or a sign that the stock is running ahead of actual foundry revenue.
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