ASML Eyes 110+ EUV Tools in 2028; ADI Buys Alif for $1.35B

This update is a roundup of same-day reporting from the linked sources below, with editorial context from the CPJ Stock Desk.

Two semiconductor deals dominated Tuesday’s AI investment news: ASML laid out an ambitious production ramp for 2028, and Analog Devices agreed to pay $1.35 billion for an AI-native chip startup. Elsewhere, Meta drew a fresh valuation note, Apple faced regulatory heat in India, and Elon Musk revived Tesla-SpaceX merger speculation.

Key points

ASML is studying ways to build more than 110 EUV lithography systems in 2028, up from at least 80 planned for 2027, according to JPMorgan analysts following a meeting with CFO Roger Dassen.
Analog Devices (ADI) announced a $1.35 billion all-cash deal to acquire Alif Semiconductor, adding AI-native fusion processors aimed at industrial, robotics, and health applications.
Meta Platforms appears 22.1% undervalued on GF Value as the company accelerates its custom MTIA AI inference chip development to cut costs.
Samsung co-led a $230 million funding round for Dutch startup Euclyd, a GPU alternative targeting the growing market for Nvidia competition.
Apple faces a deepening Indian regulatory probe over persistent iOS 18 complaints, with a consumer group pushing for class-action status.

What ASML’s production ramp signals for the AI supply chain

ASML’s 2028 target of 110-plus EUV systems is a meaningful number. The company is already nearly sold out for 2027, with a floor of 80 units planned for that year. Jumping to 110-plus the following year would represent roughly 40% output growth in a single step, which is a significant manufacturing challenge for a machine that takes years to engineer and build.

For investors, the takeaway is structural. Chipmakers building advanced AI processors need EUV to print the smallest, most power-efficient transistors. ASML sits at a chokepoint in that supply chain, and its CFO’s willingness to discuss higher 2028 targets in front of JPMorgan analysts suggests customer demand visibility is strong enough to justify the capital commitment. Zacks analysts also raised Q2 2028 earnings estimates for Marvell Technology this week, another data point that the AI chip build-out cycle is holding.

ADI buys Alif: what does “physical intelligence” mean for investors?

Analog Devices is framing the Alif deal around a concept it calls “physical intelligence,” the ability for devices to sense, reason, and act locally without relying on cloud connectivity. Alif’s fusion processors combine real-time AI inference with low-power design, which suits edge applications in robotics, industrial automation, wearables, and defense.

The $1.35 billion price tag is all-cash, so no dilution risk for ADI shareholders on the equity side. ADI argues the deal expands its total addressable market by letting it bundle Alif’s digital AI silicon with its own analog and mixed-signal chips into complete system solutions. That vertical integration play mirrors what larger peers have attempted, though execution at the product level will determine whether the premium is justified. The deal is governed by a definitive agreement, meaning regulatory approval is still pending.

Meta’s AI chip bet and what it means for the valuation gap

GF Value analysis published Tuesday pegs Meta at 22.1% undervalued, a striking contrast to the same publication flagging Apple as 15.4% overvalued on the same metric. GF Value is one model among many and should not be treated as a standalone buy or sell signal, but the gap between the two tech giants is worth noting.

Meta’s undervaluation case rests partly on its acceleration of MTIA, its custom AI inference chip, designed to reduce dependence on third-party silicon (read: Nvidia) and lower inference costs at scale. If that roadmap delivers, it shifts meaningful GPU spend into internal capital expenditure with better long-run economics. Samsung’s backing of Euclyd, the Dutch GPU-alternative startup that raised $230 million, points to broader industry momentum around reducing Nvidia reliance, though none of these alternatives are yet at production scale.

Musk, Trump, and the noise around SpaceX

Two peripheral but market-moving stories circulated Tuesday. Elon Musk again hinted at a possible Tesla-SpaceX merger or deeper collaboration, a recurring theme that tends to move Tesla shares without any firm corporate action behind it. Separately, at the All-In Summit, President Trump called AI safety fears a “hoax” in a surprise on-stage phone call with Nvidia CEO Jensen Huang. The comment appeared to target regulatory caution around AI rather than AI investment itself, but the framing drew attention given ongoing policy debates in Washington.

Morgan Stanley, meanwhile, flagged EchoStar as a way to get discounted exposure to SpaceX, noting the stock has fallen nearly 17% since SpaceX’s June IPO even as EchoStar shares gained 27% over the prior year. SpaceX’s IPO price proximity remains a reference point for investors trying to size the opportunity.

This article is for informational purposes only and does not constitute investment advice.