In a surprising move, chipmaker Qualcomm has been considering a full takeover of Intel, known for its computer processors.A report in on Friday revealed that although a deal is “far from certain,” the two companies have held talks on the subject.Qualcomm in talks to buy Intel Intel, which is currently valued at $87 billion, has been facing a huge crisis in recent years.
The company’s shares have fallen by 60% this year alone.In 2020, Intel lost Apple from its customer portfolio with the transition from Macs to Apple Silicon chips built on the ARM architecture.Intel has also been disappointing PC customers with its latest processors.
In 2023, Intel tried to acquire Tower Semiconductor in an attempt to better compete with TSMC, which is responsible for producing chips for different companies, including Apple and Nvidia.However, the deal failed to obtain regulatory approval.notes that a deal between Qualcomm and Intel has a high chance of being stopped as well.
One possible way to close the deal would be for Qualcomm to sell assets or parts of Intel to other buyers, the report says.Back in 2019, Apple acquired Intel’s modem division for $1 billion.Although Intel still dominates the PC market with its chips, it’s clear that PC makers are increasingly interested in investing in ARM chips.
Compared to x86, the ARM architecture is more efficient when it comes to energy consumption and thermals.Earlier this year, Microsoft unveiled new Surface laptops with Qualcomm ARM chips that beat Apple’s base M3 chip in some benchmark tests.It’s unclear whether Intel will agree to pursue talks for a potential deal with Qualcomm, but if it does happen, it will represent a major change in the computer industry.
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