Intel Inside? Apple May Tap an Old Rival to Build the M7

Intel-made chips may be returning to the Mac, but not in the way we remember. A new report suggests the US-based chipmaker may soon be manufacturing Apple’s silicon instead.

In a lengthy tweet, Apple supply chain analyst Ming-Chi Kuo claims that Intel will “begin shipping Apple’s lowest-end M processor as early as 2027.” That suggests the M7 chip would likely end up being made by Intel, rather than long-time Apple chip partner TSMC.

As Kuo points out, rumors have circulated for years that Intel could “become an advanced-node foundry supplier to Apple,” but there never seemed to be much substance to them. As we reported in early 2021, Intel’s then-CEO, Pat Gelsinger, had announced plans to spin off a separate “Foundry Services” business that would manufacture silicon for other companies at two new facilities in Arizona — and that he planned to pursue a deal with Apple to handle some of its production.

As we said at the time, there was no evidence that Apple would be interested in such a deal, and even less reason to believe it would switch entirely away from TSMC. At most, Apple might see Intel as a way of diversifying its supply chain. If Kuo’s information is correct, that appears to be at least part of what this new deal could be about.

The current report specifically names Apple’s “lowest-end M processor,” which is currently used in the MacBook Air, entry-level MacBook Pro, and iPad Pro. A future Intel deal would likely include only the base M7 chip, not the M7 Pro, M7 Max, or any other similarly souped-up versions. Kuo also makes no mention of Apple’s A-series chips, which are likely to continue being handled by TSMC if for no other reason than the massive production volumes required.

In addition to putting its eggs in more than one basket, engaging Intel may also be a strategic political move for Apple. While TSMC has opened several US-based facilities, it’s still a Taiwanese firm.

Intel was not only born and bred in the USA, but the Trump administration made a historic deal earlier this year in which it invested $8.9 billion for a 10% stake in the chipmaker. That’s an unprecedented move for the US government, which is now one of the largest shareholders of a private corporation that seemingly didn’t need any outside investment to keep it afloat.

Moving some M-series chip production over to Intel would therefore not only help Apple to bolster its commitment to US manufacturing, but it would be directly supporting a US government investment. In addition to the financial boost, Apple would effectively be giving Intel a strong vote of confidence that could help the company win business from others looking for foundry services.

The timeline doesn’t appear to be totally locked in yet, as Kuo notes that Intel still needs to line up everything on its end. However, that’s expected to be finished early next year, and assuming everything runs on schedule, Kuo says Intel could begin churning out M-series chips using its 18AP advanced node
“as early as 2Q-3Q27.”

[The information provided in this article has NOT been confirmed by Apple and may be speculation. Provided details may not be factual. Take all rumors, tech or otherwise, with a grain of salt.]