Intel shares fell 4% in premarket trading Monday after the company announced it would offer $15 billion in common stock. The chip maker cited strong customer demand “driven by unprecedented investment in AI compute.” Intel said it would use proceeds for general purposes, including capital expenditures and working capital. In its July earnings release, Intel raised its forecast for capital expenditures for this year to more than $20 billion, up from $18 billion previously. Executives said the higher spending was a sign of confidence in future sales.

Intel reported sales of $16.1 billion in its most recent quarter, up 25% from the year‑earlier period and beating analyst estimates by 11%. The artificial‑intelligence revolution is beginning to benefit Intel because the next wave of AI technology—AI agents completing tasks for users—relies on the central processing units, or CPUs, that are the company’s specialty. Intel is one of the few American companies that operates chip‑fabrication plants, a strategically important business that the Trump administration has sought to build up to reduce American dependence on Asian chip makers. The U.S. took a 10% stake in the company as part of that effort.

The higher capex reflects Intel’s confidence in AI‑driven demand and its role in strengthening U.S. chip independence while expanding manufacturing capacity for CPUs and related technologies.