In a surprising turn of events, Intel's stock surged more than 8% during late-morning trading on Friday, igniting speculation of an impending acquisition of the troubled chipmaker.

Tech newsletter SemiAccurate broke the news, revealing that it had received a credible email indicating a company is interested in acquiring Intel in its entirety. This acquisition interest, according to SemiAccurate, took months to verify, emphasizing that the potential buyer is not just looking to acquire parts of the business, but the company as a whole.

However, SemiAccurate acknowledged the uncertainty behind the potential acquisition, stating, “While we knew the email was real and it explicitly mentioned the company’s interest in acquiring Intel, we could not determine whether this was a concrete plan or merely an idea being floated by a CEO.”

This news comes at a tumultuous time for Intel, which has seen its share price plummet approximately 54% over the past year. The company faced significant challenges under the leadership of former CEO Pat Gelsinger, who recently announced his retirement and departure from the board of directors. His exit raised concerns as Intel struggles to keep pace with competitors like Nvidia, which has experienced explosive growth thanks to the AI boom.

Intel's stock suffered a 27% decline in August after the company reported disappointing revenue figures in the second quarter, leading to layoffs. Gelsinger cited the need to accelerate the rollout of Intel’s new generation of Core Ultra processors, designed specifically for AI applications, as a factor in the company’s missed profit expectations.

Additionally, reports surfaced earlier this year indicating that Qualcomm had shown interest in acquiring some of Intel's chip design units. In light of its ongoing struggles, Intel has been exploring various strategies to stabilize its business. They have engaged longtime investment bankers from Morgan Stanley and Goldman Sachs to consider options ranging from splitting its foundry division and reducing factory projects to potential mergers and acquisitions. Notably, the company has also been in discussions with Apollo Global Management regarding a substantial $5 billion investment.

As the market reacts to the acquisition rumors, potential investors are left wondering: Is this the turn-around Intel desperately needs, or is it just another mirage in the challenging landscape of semiconductor manufacturing? Stay tuned as we continue to follow this developing story!