news

intel is shrouded in doubt! the news of its sudden sale has left the world's former leader with a new direction.

2024-09-21

한어Русский языкEnglishFrançaisIndonesianSanskrit日本語DeutschPortuguêsΕλληνικάespañolItalianoSuomalainenLatina

cailianshe news, september 21 (editor: zhao hao)according to media reports, people familiar with the matter revealed that qualcomm had contacted intel regarding the acquisition.

influenced by the news, intel's stock price rose by nearly 9.5% in late trading, reaching a high of $23.14 per share, the highest level since august 2. qualcomm fell by more than 5.5%. by the close of trading, the gains and losses of both stocks narrowed significantly, with intel closing up 3.31% and qualcomm closing down 2.87%.

according to people familiar with the matter,the talks have taken place in recent days and a deal is still far from certain.in fact, there was news last month that there had been communications between qualcomm and intel, but at the time it was said that qualcomm was very interested in "part of intel's design business."

analysts pointed out that if qualcomm's acquisition of intel is finally successful, it will become one of the largest technology mergers and acquisitions in history. intel's total market value is currently $93.38 billion. in comparison, microsoft spent $69 billion to acquire activision blizzard.

intel, once the world's largest chipmaker, has been in decline in recent years, a decline that accelerated in 2024. its stock price suffered its biggest one-day drop in more than 50 years after a disappointing earnings report in august.

intel's stock price has fallen nearly 56% so far this year as investors question the company's costly chip manufacturing and design plans. in contrast, the s&p 500, nasdaq composite and philadelphia semiconductor index have all risen nearly 20% this year.

earlier this week, intel ceo patrick gelsinger sent an internal letter to employees, announcing the company's next phase of transformation plan, including the independence of the chip foundry business, reducing 15,000 employees by the end of the year, and selling real estate.

intel's experience is reminiscent of that of u.s. steel. the former was once a world-class company in semiconductor design and manufacturing, leading the global industry trend; the latter played an indispensable role in the united states' industrialization process in the 20th century.

the difference is that in order to rebuild its position in semiconductor manufacturing, the us government has provided intel with the "most biased" help - the department of commerce announced in march that it would provide intel with $8.5 billion in subsidies and $11 billion in loans through the chips and science act.

but at the beginning of this month, a source said that due to the serious decline in intel's performance,it may not be possible to obtain subsidies from the us governmentanalysts believe that being acquired by qualcomm may not solve intel's problems, because qualcomm has no experience in foundry and it is difficult to help it compete with tsmc and samsung.

in addition, potential mergers and acquisitions may be stopped by regulators. a few years ago, two acquisition offers by broadcom for qualcomm and nvidia for arm were canceled under national security and antitrust pressures respectively.

(cailianshe zhao hao)
report/feedback