Intel in talks to buy chip maker GlobalFoundries for $30 billion




SANTA CLARA, California: Intel Corp is in discussions to purchase semiconductor manufacturer GlobalFoundries for about $30 billion, the Wall Street Journal has reported, a deal that could help Intel ramp up production of chips at a time demand is at its peak.

Any deal talks do not appear to include GlobalFoundries directly, as a spokesperson for the company told the Journal it was not in discussions with Intel, according to the report.

As one of the last companies in the semiconductor industry that designs and manufactures its own chips, Intel said earlier this year that it would expand its advanced chip manufacturing capacity by spending as much as $20 billion to invest in factories in the U.S. and opening its factories to outside chip designers.

GlobalFoundries, which is owned by Abu Dhabi sovereign wealth fund Mubadala Investment, has a manufacturing footprint across the U.S., Europe and Asia.

Its customers include Advanced Micro Devices Inc, its parent company before it was spun off more than a decade earlier, a relationship that could spark antitrust questions about an Intel deal.

Intel declined to comment, while Mubadala and GlobalFoundries did not immediately respond to requests.