Apollo Global Management Inc. (NYSE:APO) has reportedly been considering a multibillion-dollar investment in Intel Corp. (NASDAQ:INTC).

What Happened: Apollo has proposed to make an equity-like investment of up to $5 billion in Intel, reported Bloomberg, citing people familiar with the matter.

As per the sources, Intel's executives are currently evaluating Apollo's proposal.

The size of the investment could change and there are also some chances that the discussions could fall through.

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Apollo and Intel already have a business relationship.

Earlier this year in June, Intel agreed to sell a stake in a joint venture controlling a plant in Ireland to Apollo for $11 billion.

Why It Matters: This development occurred after it was reported that Qualcomm Inc. (NASDAQ:QCOM) was planning to acquire Intel.

If the Qualcomm-Intel deal goes through, it could result in one of the largest M&A deals ever, surpassing Microsoft Corporation's $69 billion acquisition of Activision Blizzard.

Intel's second-quarter earnings reflected an 84.62% decline from the same period last year. The company reported quarterly earnings of 2 cents per share, which fell significantly short of the analyst consensus estimate of 10 cents.

In August it was reported that a prominent board member at Intel, Lip-Bu Tan resigned from his position following a dispute with CEO Pat Gelsinger and other directors.

This raised concerns about the company's direction.

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