This partnership will see Intel manufacturing an AI fabric chip for AWS using its most advanced process node, the Intel 18A.

Intel Corporation INTC recently announced that it had extended its collaboration with Amazon Web Services, Inc. (AWS), a wholly-owned subsidiary of Amazon.com AMZN. The collaboration involves co-investment by the companies in custom chip designs under a multi-year,

Amazon Web Services (AWS) has entered into a multi-year, multi-billion-dollar contract with Intel to develop custom chip designs. As part of the co-investment, Intel will produce an AI fabric chip for AWS on Intel 18A, and produce a custom Xeon 6 chip on Intel 3. Intel has long developed slightly customized Xeon Scalable CPUs for AWS.

Intel has secured AWS as a customer for its 18A process. ‘Intel  and Amazon Web Services today announced a co-investment in custom chip designs under a

Intel will produce custom chips for AWS; multi-year, multi-billion-dollar partnership accelerates development of Ohio chip manufacturing.

Intel and Amazon's AWS said on Monday they would expand their collaboration, including a co-investment in custom chip designs, under a multi-year, multi-billion-dollar framework. Intel's shares were up 9% in extended trading.

Intel Corp. says it will spin off its chip fabrication business as part of its ongoing plan to put the brakes on a yearslong decline, stem billions of dollars in losses, and prop up its tumbling stock price.