Intel stock jumps as SK Hynix weighs U.S. memory-chip deal

Intel ( INTC ) has spent years trying to turn its manufacturing network into a business that can serve customers beyond its own chip divisions.

That effort gained a possible new partner on Wednesday, Sept. 16.

SK Hynix ( SKHY) is in exploratory talks with Intel about producing memory chips in the U.S., Reuters reported . The discussions could involve Intel's delayed manufacturing project in Ohio.

No agreement has been reached, and Reuters could not determine which type of memory would be produced.

Intel shares were up about 5.6% following the report.

Bank of America analyst Vivek Arya currently rates Intel Buy with a $145 price target .

SK Hynix weighs 2 routes into Intel's Ohio project

Reuters reported that SK Hynix could lease part of Intel's planned Ohio manufacturing complex or participate in a joint venture involving Intel and large cloud companies looking to secure future memory supplies.

Either structure could create a new outside use for part of Intel's Ohio project.

Intel slowed construction of the site in 2025 as it moved to align new manufacturing investment more closely with market demand.

The company has said to operate efficiently, its advanced manufacturing technologies need more production volume than Intel's own products are expected to provide . Intel also said it still has relatively few external foundry customers.

The company's latest results show how much of the manufacturing business still depends on its own product divisions.

$5.77 billion : Intel Foundry's second-quarter revenue.

$293 million : Revenue from external foundry and assembly-and-test customers.

$2.09 billion : Intel Foundry's operating loss for the quarter.

Intel reported about $5.5 billion of intersegment Foundry revenue during the quarter, meaning most of the unit's reported sales still came from other Intel businesses.

External revenue also increased partly because Altera became an outside customer after Intel sold a controlling stake in that business.

A SK Hynix arrangement would not necessarily make the memory company a traditional Intel Foundry customer.

Under the lease scenario, SK Hynix could gain access to part of Intel's planned Ohio manufacturing complex.

A joint venture could create a different relationship, potentially connecting the project with cloud companies seeking future memory supply.

The financial benefit to Intel would depend on the final structure.

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