NEW YORK (TheStreet) -- Shares of Intel (INTC) - Get Report were gaining late Tuesday afternoon after the company announced it would be licensing technology from competitor ARM Holdings (ARMH), Bloomberg reports.
The Santa Clara, CA-based digital technology company is looking to win more customers for its unit which manufactures chips for other companies.
Intel, using ARM technology, will be able to offer companies its most advances 10-nanometer production lines to manufacture chips that are typically used in smartphones.
The deal was unveiled today at the Intel Developer Forum in San Francisco.
Intel, the world's largest semiconductor maker, generates most of its revenue from its personal-computer processors and has not yet gained much ground in the fast-growing mobile phone market, Bloomberg notes.
The company seeks to convince other chipmakers to use its factories for production.
Separately, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
TheStreet Ratings rated this stock as a "buy" with a ratings score of B+.
The company's strengths can be seen in multiple areas, such as its revenue growth, reasonable valuation levels, good cash flow from operations, solid stock price performance and expanding profit margins. We feel its strengths outweigh the fact that the company has had sub par growth in net income.
You can view the full analysis from the report here: INTC