Intel Foundry Wins Fortinet Security Chip Deal as Wall Street Awaits $14.42 Billion Quarter
Updated
Updated · CNBC · Jul 23
Intel Foundry Wins Fortinet Security Chip Deal as Wall Street Awaits $14.42 Billion Quarter
3 articles · Updated · CNBC · Jul 23
Summary
Fortinet tapped Intel's foundry unit to manufacture next-generation security chips, marking the first such customer announcement under CEO Lip-Bu Tan since he took over in March 2025.
The deal strengthens Intel's push to build a foundry revenue stream beyond its own processors, while helping address supply constraints that have limited how much CPU demand the company can serve.
Intel last week pledged about $5.7 billion for its Leixlip, Ireland, plant to expand Xeon server CPU output and broaden manufacturing capacity that could also support foundry ambitions.
Investors now head into Thursday's earnings looking for proof Intel can ramp supply, expand foundry progress and support forecasts for 12% revenue growth to $14.42 billion and EPS of $0.21.
In July 2026, Intel and Fortinet announced a strategic foundry partnership, marking a major milestone as Fortinet became Intel Foundry’s first publicly named cybersecurity customer. This collaboration expands Intel’s role in specialized chip manufacturing, with Fortinet choosing Intel’s Intel 4 process for its next-generation Security Processor 6 (SP6). The Intel 4 technology is well-suited for simpler chips like ASICs used in networking, making it ideal for Fortinet’s needs. By partnering with Intel, Fortinet aims to enhance supply chain resilience and ensure a robust, diversified manufacturing base, ultimately driving greater security, performance, and reliability for its customers.