Article_Opinion, İntel, Semiconductors, Mergers, Globalfoundries, Amd, Abudhabi, Computers/Electronics, Semiconductors, Wooden Furniture

Article_Opinion, İntel

Opinion: Intel wants to buy AMD’s old chip-making business? How weird are semiconductor mergers going to get?

The semiconductor industry just keeps getting weirder and weirder, and the latest news from Intel Corp. is another example of the industry's quest for deals...

7/26/2021 5:15:00 AM

OPINION: Amid an unprecedented global chip shortage, the wacky world of semiconductor mergers could be headed completely through the looking glass, writes tpoletti.

The semiconductor industry just keeps getting weirder and weirder, and the latest news from Intel Corp. is another example of the industry's quest for deals...

The Wall Street Journal reported Thursday that chip giant Intel Corp. INTC, -5.29% is exploring a $30 billion deal to buy GlobalFoundries Inc., a contract semiconductor manufacturer owned by the investment arm of the Abu Dhabi government. The previous owner of GlobalFoundries: Intel’s biggest rival, Advanced Micro Devices Inc. AMD, +1.03%, which spun out the manufacturing arm in a 2009 deal and committed to buying $1.6 billion worth of chips from the manufacturer last May.

School opens free 'grocery store' to help students with struggling families Latest evidence shows Trump's team knew election lies weren't true Emporio Armani Spring 2022 Ready-to-Wear Collection

An Intel spokeswoman declined to comment, as did an AMD spokesman.The two companies have a rivalry that goes back for decades in Silicon Valley, where AMD has mostly lived in the shadow of Intel as a licensed second source of Intel-compatible chips, rarely (if ever) becoming a serious competitive threat. Until now. Under the leadership of CEO Lisa Su and her team, AMD has gained share in both the PC and server markets, starting with its Zen architecture.

After years of poor manufacturing results, new Intel Chief Executive Pat Gelsinger has pushed to massively expand his company’s foundry business and make more chips for other semiconductor firms. GlobalFoundries would represent a jumpstart, but regulatory questions would abound. headtopics.com

Scrutiny is a normal course for the semiconductor world, where mergers have been getting stranger and slightly more desperate (and receiving governments’ attention) in recent years. Nvidia Corp. NVDA, -0.18% got the ball rolling on the current crop by agreeing to purchase ARM Holdings from Softbank Group 9984, -0.52%, setting itself up to license designs to some of its biggest rivals. In spite of some scrutiny by regulators and some competitors, Nvidia executives say they are still confident of the deal closing.

Three semiconductor companies came out in support of Nvidia’s proposal to buy ARM recently: Broadcom Inc. AVGO, +1.43%, Marvell Technology Inc. MRVL, +1.62% and MediaTek 2454, -0.96% of Taiwan, in spite of their normally fiercely competitive stances. Broadcom CEO Hok Tan, known for not mincing words, said Nvidia had assured the company that it would “continue to make that technology available to the industry on a fair, reasonable and non-discriminatory basis.”

Some of those executives — especially Tan — know the kind of regulatory pressure Nvidia faces. Broadcom attempted to buy Qualcomm Corp. QCOM, +1.71% and saw the Trump administration stand in its way, citing China. Chinese investors seeking to buy chip companies have been blocked for years by the U.S., though Broadcom at the time was domiciled in Singapore and in the process of moving its headquarters back to the U.S., and then in 2018, made its own head-scratching acquisition by buying mainframe software maker CA Technologies.

Qualcomm, meanwhile, has reportedly been asking regulators to block Nvidia’s deal for ARM. Qualcomm has had its own problems with those same forms of government agencies, including years of antitrust battles with the Federal Trade Commission. Now, the FTC has eyes on Broadcom and earlier this month charged the company with illegally monopolizing the market for chips used in cable set-top boxes and broadband devices. headtopics.com

German election diary: Laschet’s hope; avian alarm; your TV guide Rep. Speier: Abortion rights bill 'is a major step for women across the country' If Trump’s Adult Children Helped Him Commit Fraud, New York Prosecutors Are About to Find Out

Strange bedfellows, questionable deals and regulatory scrutiny come with the territory in semiconductors. Intel wanting to spend $30 billion for its biggest rival’s former chip-making operations so it can make more chips for its competitors (including AMD) would take that to a new level, though.

Read more: MarketWatch »

Met Gala Photos 2021: Red Carpet Arrivals

The Met Gala makes its dazzling return, offering a landscape of lavish red carpet looks we’ve come to expect on one of fashion’s biggest nights. Co-chairs of the evening are Timothée Ch…

Intel plans to get into the foundry business. GlobalFoundries Inc has been in that business for a long time. They could teach Intel a lot about Foundry operations. Furthermore, they would presumably bring considerable financial goodwill to Intel's Foundry business. tpoletti Still pushing chip shortage….. we all know they create the shortage to justify price…. Just like oil

tpoletti horrible

Global chip shortage to hit smartphone market nextVarious industries dependent on semiconductors have faced supply disruptions as chip makers have cut back production in the wake of pandemic. Blackophobia Asianophobia Islamophobia Semitism-ophobia Latinophobia, whats next Whiteophobia? Or Digitalophobia? SmithZodek more silicon?

Stay Ahead of the Fashion Curve and Start Planning (and Shopping) For FallThe early bird gets the best-dressed award, or however that saying goes. Let’s instead re-use some of the stuff from last fall no? We’ve got enough clothes already!! the challenge would be for these editor/stylist to give us options on how to style things we bought from the past trends as if they were new. Come on already 🤌 Wishing for UK tours in detail for long holiday. Please try to keep your comments short. Thank you.🙌

Can a motorcycle-hailing company create an African super app?Inspired by Asian super apps, motorcycle-hailing platform Gozem has added services such as food and grocery delivery, vehicle financing and a digital wallet to create the go-to app for smartphones in West Africa. FreeMaziNnamdiKanu FreeMaziNnamdiKanu FreeMaziNnamdiKanu FreeMaziNnamdiKanu FreeMaziNnamdiKanu FreeMaziNnamdiKanu FreeMaziNnamdiKanu I prefer Van Damn African younger stars develop these some apps but instead google and other internet giants dont support them. This not news CNN

Uber Boosts Trucking Push With $2.25 Billion Deal To Buy Freight Service TransplaceThe ridehail giant aims to turn its Uber Freight unit into a top player in arranging and tracking shipments of goods. Tech For all those who are new to this working from home Bitcoin trading options Here's a little tip: Get a trusted Bitcoin expert and stick to her _Johnson56 Invest and play at similar times each day. Because : In times of chaos, your investment is your anchor to success

Gabrielle Union Flaunts Natural Curls After Her 'Big Chop': 'I Did A Thing''The movies always show women cutting their hair when all is lost but I wanted to know the feeling of making a change when things are gravy,' the actor s... Absolute queen

How Saleka Turned Old's Star-Studded Premiere Into a Family AffairThe rising R&B star takes Vogue behind the scenes of the thriller's premiere at Lincoln Center.