Intel shares rose in after-hours trading after the company posted second-quarter results above market expectations and issued third-quarter guidance that also topped forecasts. Quarterly revenue grew 25 percent, the fastest pace since the third quarter of 2011. Data center revenue jumped 59 percent to $6.3 billion on stronger server processor sales, while client computing group revenue rose 13 percent to $8.9 billion. The company said capacity is lagging demand and it has secured 10 long-term contracts.

Intel’s push into the contract chipmaking market is becoming visible through orders from big tech firms, with Tesla set to use Intel’s 14A process for AI chips and Google reportedly shifting part of TPU production. The move comes as TSMC capacity constraints have opened space for alternatives such as Samsung Electronics. Intel’s U.S. government backing and leadership hires add to competition for U.S. customer volumes, as Samsung prepares to outline its technology strategy at upcoming forums in Seoul.