Microsoft’s decision to cancel plans for certain data centers sent shockwaves through the semiconductor industry. Intel Corporation was among the hardest hit, falling more than 2% during trading.
On Monday, Intel shares closed at $24.27 on the New York Stock Exchange, down 2.41%.
The company had recently gained momentum on speculation of separate acquisition deals involving U.S.-based Broadcom and Taiwan’s TSMC.
However, Microsoft’s move to scale back its data center expansion sparked a sector-wide sell-off in chip stocks, pulling Intel down.
Despite this setback, Intel’s stock remains up 3% over the past five days and 16% over the past month, fueled by a rally driven by merger and acquisition activity.