Apple may be the world's largest consumer tech company, but even it sometimes has to look elsewhere when items on its shopping list are simply unavailable. The company looks like it may be a step closer to filling its cart with Intel-manufactured chips,

Following more than a year of "intensive talks," The Wall Street Journal reports Apple has reached a preliminary agreement with Intel for the former titan to produce some of the chips that power its devices.

Shares of Intel Corp. were surging Friday afternoon after the Wall Street Journal reported that the company reached a preliminary deal to make chips for Apple devices. That was helping spark a further rally in chip stocks toward a third-record close this week.

Shares of Intel are up more than 15% in afternoon trading, building on morning gains after The Wall Street Journal reported that the chip maker had struck a deal with Apple to make some of the chips that power its devices.

Intel has reached a preliminary deal to make some chips for Apple devices, the Wall Street Journal reported on ​Friday, in a potential boost to Intel's contract manufacturing business and Washington's push to shore up ‌U.

After months of speculation, the WSJ reported Friday that Apple and Intel have reached a "preliminary chip-making agreement" which will see the firms collaborate on chips for Apple devices. Specifics on the deal were not disclosed,

The iPhone maker and U.S. silicon giant will work together on chips for Apple devices. The Trump administration pushed for the deal.

Key Takeaways Intel stock keeps climbing to record highs. This week's driver: reports that it might soon land a deal to make chips for Apple. The possibility of a big client for Intel's foundry business has enticed investors to extend a dramatic upward run for the chipmaker's shares.