European Aeronautic, Defence & Space Co’s (EADS) Astrium space unit agreed to buy Vizada from Apax Partners LLP for US$960 million to add satellite-based mobile communications services and bolster its services businesses.
Vizada provides communications for the maritime, aerospace and defense industries, EADS said in a statement yesterday. Customers also include the US government, EADS said.
EADS has stepped up the pace of acquisitions this year as it puts its 11 billion euros (US$15.8 billion) in cash to add services operations and expand in North America. The purchase of Vizada is EADS’s biggest since it bought out BAE Systems PLC’s stake in planemaker Airbus SAS in 2006, and the fourth transaction this year involving a services company.
“The growing demand for maritime services is a perfect cornerstone for Astrium to develop its commercial satellite communications,” EADS said in the statement. “This also offers multiple development potential in the various sub-sectors, such as commercial fishing, leisure and military.”
EADS CEO Louis Gallois has identified services and security businesses as two areas to find growth as governments cut spending on military programs. EADS aims to reduce dependence on its Airbus planemaking unit to less than half of total revenue and has been working to expand export sales outside of commercial aircraft as it competes with military contractors that have US government backing.
EADS completed the acquisition of Vector Aerospace Corp, based in Canada, on June 30 to expand in aviation repair and overhaul services. On July 27, Airbus offered to buy Danish aviation supplier Satair A/S for about US$504 million in cash to add a maintenance and components company. That followed the July 26 accord to acquire US-based Metron Aviation to help build up a new unit focusing on air-traffic management.
Taiwan’s technology protection rules prohibits Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) from producing 2-nanometer chips abroad, so the company must keep its most cutting-edge technology at home, Minister of Economic Affairs J.W. Kuo (郭智輝) said yesterday. Kuo made the remarks in response to concerns that TSMC might be forced to produce advanced 2-nanometer chips at its fabs in Arizona ahead of schedule after former US president Donald Trump was re-elected as the next US president on Tuesday. “Since Taiwan has related regulations to protect its own technologies, TSMC cannot produce 2-nanometer chips overseas currently,” Kuo said at a meeting of the legislature’s
Semiconductor shares in China surged yesterday after Reuters reported the US had ordered chipmaking giant Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) to halt shipments of advanced chips to Chinese customers, which investors believe could accelerate Beijing’s self-reliance efforts. TSMC yesterday started to suspend shipments of certain sophisticated chips to some Chinese clients after receiving a letter from the US Department of Commerce imposing export restrictions on those products, Reuters reported on Sunday, citing an unnamed source. The US imposed export restrictions on TSMC’s 7-nanometer or more advanced designs, Reuters reported. Investors figured that would encourage authorities to support China’s industry and bought shares
TECH WAR CONTINUES: The suspension of TSMC AI chips and GPUs would be a heavy blow to China’s chip designers and would affect its competitive edge Taiwan Semiconductor Manufacturing Co (TSMC, 台積電), the world’s biggest contract chipmaker, is reportedly to halt supply of artificial intelligence (AI) chips and graphics processing units (GPUs) made on 7-nanometer or more advanced process technologies from next week in order to comply with US Department of Commerce rules. TSMC has sent e-mails to its Chinese AI customers, informing them about the suspension starting on Monday, Chinese online news outlet Ijiwei.com (愛集微) reported yesterday. The US Department of Commerce has not formally unveiled further semiconductor measures against China yet. “TSMC does not comment on market rumors. TSMC is a law-abiding company and we are
FLEXIBLE: Taiwan can develop its own ground station equipment, and has highly competitive manufacturers and suppliers with diversified production, the MOEA said The Ministry of Economic Affairs (MOEA) yesterday disputed reports that suppliers to US-based Space Exploration Technologies Corp (SpaceX) had been asked to move production out of Taiwan. Reuters had reported on Tuesday last week that Elon Musk-owned SpaceX had asked their manufacturers to produce outside of Taiwan given geopolitical risks and that at least one Taiwanese supplier had been pushed to relocate production to Vietnam. SpaceX’s requests place a renewed focus on the contentious relationship Musk has had with Taiwan, especially after he said last year that Taiwan is an “integral part” of China, sparking sharp criticism from Taiwanese authorities. The ministry said