Intel Will Likely Turn to Taiwan Semiconductor for Chips. Here's Who Benefits Most.

Nvidia (NVDA) over AMD. Moving production to Taiwan Semiconductor would likely hurt Intel's margins, however. Danely estimated that it would result in a 10-percentage-point drop in the company's gross margin, and a 25-percentage-point drop in its per-share earnings. For Taiwan Semiconductor, Intel shifting some of its production would generate a lot more revenue. Danely wrote that for every $2 billion in processor business that Intel shifts to Taiwan Semiconductor, the latter company will gain $560 million in sales. Danely wrote that it's likely that Intel will outsource its lower-end Atom processors. Currently Danely estimates Atom chips are roughly 15% of…