Intel in talks to get up to $5 billion investment from Apollo: report

News of the investment talks comes after The Wall Street Journal reported on Friday that Qualcomm had approached Intel about a potential takeover. However, the potential deal could face antitrust scrutiny and political challenges.

It follows a Reuters report a few weeks earlier that Qualcomm was considering the purchase of parts of the Intel business.

Last month, Intel announced plans to cut 15,000 jobs, cut capital spending and suspend its fourth-quarter dividend. CEO Pat Gelsinger sent an email last week outlining “the next phase of Intel’s transformation. The plan includes creating an independent subsidiary for its foundry business, which makes chips designed by other companies such as Microsoft.

Intel also announced a partnership with Amazon Web Services
to produce custom designs for the cloud giant as part of a “multi-year, multi-billion dollar framework.”

Intel, once the world’s most valuable chipmaker, has seen its shares tumble nearly 60% since the start of the year due to several production and strategy challenges. The company missed out on the mobile chip revolution, and TSMC gained market share from Intel around 2018.

Intel and Apollo did not immediately respond to Business Insider’s after-hours requests for comment.