Intel Spinout Cornelis to Supply Chips for $70M Supercomputer While Shares Drop 5.6%
INTC•Cornelis, the 2020 spinout where Intel is a minority shareholder, will supply networking chips to connect 952 nodes in Lawrence Livermore National Laboratory’s $70M Lynx supercomputer for nuclear simulations. Intel shares fell 5.6% as chip profit-taking weighed on the S&P 500 and Nasdaq despite broader industrials and financials gains.
1. Cornelis Wins Supercomputer Networking Role
Cornelis, spun out of Intel in 2020 with Intel as a minority shareholder, secured the contract to supply networking chips connecting 952 compute nodes in Lawrence Livermore’s Lynx supercomputer. This system, part of a $70 million multi-lab National Nuclear Security Administration program, will simulate nuclear weapons stockpile data flows using Cornelis’ traffic-routing features to avoid network congestion.
2. Intel Stock Slides on Chip Profit-Taking
Intel shares fell 5.6% on Tuesday as traders booked profits in semiconductor names, contributing to declines in the S&P 500 and Nasdaq despite record gains in industrials and financials. The pullback reflects broader tech rotation pressures ahead of the Federal Reserve’s first meeting under Chair Kevin Warsh.
