TSMC has pitched U.S. chip designers Nvidia , Advanced Micro Devices and Broadcom about taking stakes in a joint venture that would operate Intel's factories, according to four sources familiar with the matter.

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Taiwan Semiconductor Manufacturing has pitched Nvidia and rival chip designers Advanced Micro Devices and Broadcom the idea of taking stakes in a joint venture to operate Intel’s chip-fabrication operations,

Chip designers Nvidia and Broadcom are running manufacturing tests with Intel , two sources familiar with the matter told Reuters, demonstrating early confidence in the struggling company's advanced production techniques.

KEY TAKEAWAYS Shares of Intel are jumping more than 7% in premarket trading Wednesday following a report that TSMC has approached U.S. chip designers Nvidia, Advanced Micro Devices, and Broadcom about forming a joint venture to own and run the chipmaker's foundry division.

Taiwan Semiconductor Manufacturing Company (TSMC) (NYSE:TSM) has proposed a joint venture involving Intel's (NASDAQ:INTC) foundry division to several major U.S. chip manufacturers, including Nvidia (NASDAQ:NVDA),