INTC Stock Alert: What to Know as Intel Co-Invests in Arizona Chip Factories

  • Intel (INTC) stock is getting a boost from funding news today.
  • The company has reached an agreement with Brookfield Asset Management (BAM) for capital to create new semiconductor factories.
  • These facilities will be added to Intel’s Ocotillo campus in Arizona.
Close up of Intel sign at their San Jose campus in Silicon Valley representing intc stock.

Source: Sundry Photography /

Intel (NASDAQ:INTC) stock is in the news today after the company announced its co-investment into Arizona semiconductor factories.

This is through its Semiconductor Co-Investment Program (SCIP). The company signed an agreement with Brookfield Asset Management’s (NYSE:BAM) infrastructure affiliate to build capital and help fund the creation of new chip factories. This will see Intel obtaining the funding by the end of the year.

The company is planning to expand its Ocotillo campus in Chandler, Arizona with new facilities for semiconductor production. This will have it funding 51%. The remaining 49% will be funded by Brookfield Asset Management.

Intel notes that it will maintain majority control of two new chip factories in Chandler. These factories will support the company’s long-term demand for its products, as well as demand from Intel Foundry Services (IFS) customers.

CFO David Zinsner said the following about the funding deal:

“Our agreement with Brookfield is a first for our industry, and we expect it will allow us to increase flexibility while maintaining capacity on our balance sheet to create a more distributed and resilient supply chain.”

Intel’s commitment to manufacturing more semiconductors will likely benefit INTC stock in the long term. There’s an increasing demand for chips as technology advances, the rising demand for electric vehicles (EVs) being a prime example.

INTC is up 1.3% as of Tuesday morning!

There’s more recent stock market news traders need to know about below!

InvestorPlace is home to the hottest stock news available on Tuesday! A few examples include what has shares of Domino’s Pizza (NYSE:DPZ), Aerie Pharmaceuticals (NASDAQ:AERI) and AMC Entertainment (NYSE:AMC) all on the move today. You can find all of that at the following links!

More Tuesday Stock Market News

On the date of publication, William White did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the Publishing Guidelines.

Article printed from InvestorPlace Media,

©2023 InvestorPlace Media, LLC