Intel Corp. said Wednesday that it will sell its chips to Dell Inc., one of the world’s biggest PC makers, to help bolster the U.S. economy.
The deal was announced on Wednesday as Intel’s stock fell by more than 2% on news that Dell has announced plans to buy its chip division.
Intel said in a statement that it would help Dell with its $1.4 trillion in debt.
The chip maker said that it expects the deal to close in the fourth quarter.
The company’s shares have fallen almost 10% since the announcement.
Dell and Intel have a history of cooperation.
Dell is one of two companies that own the chip division that makes PCs.
Dell said in July that it is also looking at buying its chips maker, ARM Holdings Ltd., to help it compete in the emerging chip market.