: Intel stock drops 6% after report of Microsoft developing its own chips

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Intel Corp. shares closed down Friday following a report that Microsoft Corp. was developing in-house chips for its servers and Surface PCs. Intel INTC shares closed Friday down 6.3% at $47.46, while shares of Advanced Micro Devices Inc. AMD, which also makes CPUs, closed down 1% at $95.92. Microsoft MSFT plans to develop a chip using Arm Holdings PLC designs for its data centers, and is exploring using another chip to power its PCs, Bloomberg reported on Friday. In September, Nvidia Corp. NVDA offered $40 billion to acquire Arm from Softbank Group Corp. JP:9984 Nvidia shares closed down 0.5% at $530.88. Microsoft shares finished down 0.4% at $218.59. In November, Apple Inc. AAPL, which had been relying on Intel chips until recently, released computers using in-house designed chips.
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