It can pay to have rich friends.

This is especially true when that friend runs the largest cloud computing business in the world and you are a manufacturer of computer chips. That is why (NASDAQ: INTC) stock soared after the company announced a new partnership with Amazon (NASDAQ: AMZN) for custom chip designs for its Amazon Web Services (AWS) subsidiary.

Intel stock shot up from around $19 to $21 on this news, stemming painful losses that shareholders have incurred for the last few years. Intel shares are down 70% from its five-year high as the company struggles to build its new foundry business and compete in the age of artificial intelligence (AI). Today, Amazon is stepping up to the plate and saying it will invest in Intel's computer chip business for the long haul.

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Source Fool.com