Samsung shares advance on Intel’s outsourcing scheme

Samsung Electronics’ shares joined TSMC, its competitor, as both extended gains on Tuesday. This was mainly from upbeat expectations that Intel Corp’s plan of outsourcing more chip producers would favor the chipmakers.

Shares of Samsung Electronics recorded a 5.8% jump, soaring to the highest level in about five months. More so, the technology provider’s shares were on track to secure a three-month winning streak.

Intel said on Thursday that its new 7-nanometer chip technology was lagging for six months already and it would consider outsourcing services from external semiconductor foundries. The U.S. chipmaker also disclosed the resignation of its chief engineering officer.

Backed by Intel’s woes, shares of Taiwan Semiconductor Manufacturing Co Ltd advanced 5.5%. This followed after the company reached a record high on Monday.