Intel Shares Slide as TSMC Explores Terafab Tie-Up, Analyst Flags Share Losses

Intel (INTC) shares fell over 4% in premarket trading after reports indicated TSMC is in discussions with Elon Musk's Terafab venture for a potential collaboration 🔗. This development raises questions about Intel's previously sole manufacturing partnership at the Texas semiconductor project. Susquehanna analysts also flagged Intel's continued loss of CPU model share in laptops and desktops 🔗.

This comes as:

• Intel joined Terafab in April 2026, with its 14A node designated as the sole process technology 🔗.
• TSMC's NYSE-listed ADR climbed 1% following Musk's confirmation of early discussions 🔗.
• Terafab is a significant project by SpaceX and Tesla, with potential costs up to $119 billion across multiple phases 🔗.