Once the biggest name in chips known as central processing units (CPUs), Intel has long seen its technological manufacturing edge blunted by rivals such as Taiwan Semiconductor Manufacturing Co Ltd (TSMC), the world leader in making chips for customers such as Apple.
Intel's turnaround strategy hinges in part on opening up its factories to other chip companies, particularly those in mobile phones. It has said firms such as Qualcomm Inc are planning to use its factories for future chip designs.
"There is growing demand for computing power driven by the digitisation of everything, but until now customers have had limited options for designing around the most advanced mobile technology," said Pat Gelsinger, Intel's chief executive.
For its part, Arm, now owned by Japanese technology investment bank SoftBank Group and which plans to go public later this year, is a major supplier of intellectual property to many chip companies, especially...