Intel’s Amazon chip deal lifts investor confidence in money-losing unit

Intel’s Amazon chip deal lifts investor confidence in money-losing foundry unit Sept 17 (Reuters) – Intel shares jumped 7 per cent before the bell on Tuesday, as a chip-making deal with Amazon’s cloud business provided a major stamp of approval for its struggling contract manufacturing business.

The chipmaker will build custom AI chips for Amazon Web Services (AWS) as part of the multibillion-dollar deal. The move expands a years-long tie-up between the companies under which Intel designs several chips used in Amazon’s datacenters.