# Applied Materials Shares Slip as Intel Research Deal Lacks Orders

- URL: https://stocks.freetheai.org/news/applied-materials-shares-slip-as-intel-research-deal-lacks-orders-d15615
- Published: 2026-10-12T19:21:03Z
- Category: company_news; sentiment: mixed; impact: medium
- Symbols: [NASDAQ:AMAT](https://stocks.freetheai.org/symbols/NASDAQ-AMAT)
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Applied Materials, Inc. (NASDAQ:AMAT) expanded its artificial intelligence chip research collaboration with Intel Corporation, focusing on joint development for transistors, chip wiring, and Foveros three-dimensional packaging. The work will be split between Applied Materials' Silicon Valley EPIC Center and Intel's Oregon research location. Despite the expanded partnership, Applied Materials shares fell 1.95% to $497.10 because the announcement included no immediate equipment orders or direct revenue commitments.

The collaboration allows Applied Materials to better align its equipment research with Intel's upcoming production demands. However, no specific development budgets or commitments to commercial production nodes were disclosed. With the stock trading substantially above its reference valuation estimate of $254.67, investors appear hesitant to bid shares higher without near-term revenue gains.

Investors will watch for progress as the research advances into production-qualified machinery and repeat commercial orders. The operational launch of the Silicon Valley EPIC Center, scheduled for later this year, will be a key milestone to monitor.

## Key points

- Applied Materials, Inc. (NASDAQ:AMAT) expanded its AI chip research partnership with Intel Corporation covering transistors, wiring, and 3D packaging.
- Research will take place at Applied's Silicon Valley EPIC Center and Intel's Oregon facility, with EPIC scheduled to open this year.
- The agreement includes no disclosed equipment orders, node commitments, or immediate revenue boost.
- Shares of Applied Materials fell 1.95% to $497.10 following the update.

## Questions and answers

### Why did Applied Materials stock fall after the Intel announcement?

Applied Materials stock dropped because the expanded Intel partnership covers joint research but does not include immediate equipment orders or near-term revenue.

### What technology are Applied Materials and Intel researching together?

The companies are jointly researching advanced transistors, chip wiring, and Foveros 3D packaging technologies across facilities in California and Oregon.

### When will the EPIC Center open?

The Silicon Valley EPIC Center is scheduled to become operationally ready later this year.