Broadcom Inc has had informal talks with its advisers about making a bid for Intel Corp’s chip-design and marketing business, the Wall Street Journal reported, citing people familiar with the matter.
Nothing has been submitted to Intel and Broadcom could decide not to pursue a deal, according to the Journal.
Bloomberg News earlier reported that Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) is in early talks for a controlling stake in Intel’s factories at the request of officials at US President Donald Trump’s administration, as the president looks to boost US manufacturing and maintain the country’s leadership in critical technologies.
Photo: AFP
Trump officials raised the idea of a deal between the two companies in recent meetings with the Taiwanese chipmaker, a person familiar with the matter said, and TSMC was receptive. It is unclear whether Intel is open to a transaction.
The talks are in early stages, and the exact structure of a potential partnership has not been established, but the intended result would have the world’s largest made-to-order chipmaker fully operating Intel’s US semiconductor factories, the person said.
It also would address concerns about Intel’s deteriorating financial state, which has forced the company to slash jobs and curb its global expansion plans.
The arrangement might involve having major US chip designers take equity stakes, along with support from the US government, the person said.
That means the venture would not solely be owned by a foreign company. TSMC is the go-to chipmaker for Apple Inc, Nvidia Corp and other companies developing semiconductors that power artificial intelligence algorithms.
Still, the possible partnership could run into political hurdles, not unlike those that have hamstrung a proposed acquisition of United States Steel Corp by Japanese maker Nippon Steel Corp.
A White House official said that the president is unlikely to support a foreign entity operating Intel’s factories.
The White House official said the Trump administration supports foreign companies investing and building in the US, but is “unlikely” to support a foreign firm operating Intel’s factories.
Broadcom and TSMC are not working together and all talks so far are preliminary and largely informal, the Journal reported.
Intel interim executive chairman Frank Yeary has been leading the discussions with possible suitors and Trump administration officials, who are concerned about the fate of a company seen as critical to national security, the report said.
Yeary has been telling individuals close to him that he is most focused on maximizing value for Intel shareholders, the report added.
Intel, Broadcom, TSMC and the White House did not immediately respond to requests for comment.
Additional reporting by Reuters
Cairo’s new monorail slices across the city skyline, running above the familiar chaos of blaring horns and aging buses’ exhaust fumes that mark rush hour below. The US$4.5 billion monorail, opened this month, is among Egypt’s most prominent new transport projects, part of a debt-funded infrastructure drive criticized for sapping state finances while bringing limited benefits to most of the country’s 109 million people. “It feels like you’re in a different country,” said Ramy Sayed, a restaurant manager, aboard a driverless Innovia 300 train. “No noise, no traffic, we’re not used to this.” The eastern line runs 56km from the bustling middle-class
Taiwanese firms have increased investment in the Philippines in recent years as Manila’s ties with Washington deepen and global supply chains continue to shift away from China, an expert at the Chung-Hua Institution for Economic Research (CIER, 中華經濟研究院) said yesterday. The Philippines had not been among Taiwanese investors’ top choices in Southeast Asia, CIER Taiwan ASEAN Studies Center director Kristy Hsu (徐遵慈) said at a seminar in Taipei. However, Taiwan’s investment in the country has grown significantly since the COVID-19 pandemic, reaching US $257 million last year, a high in recent years, she said. Although Taiwan’s total investment in the Philippines still lags
Starlux Airlines Co (星宇航空) today unveiled a long-haul network expansion plan at a shareholders’ meeting in Taipei, including direct flights to Barcelona, Spain, and Zurich, Switzerland, as well as a service connecting Taipei, Sydney and New Zealand. Starlux is to become the first Taiwanese carrier to offer non-stop services to the two European cities, while the inaugural oceanic route is expected to expand transit opportunities within the Australia-New Zealand market, Starlux said. Flight services to Chicago, Dallas, Washington and New York are under evaluation, the airline added. Prior to the shareholders’ meeting, the airline earlier this year announced that it would be
Intel Corp regards Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) as a longstanding partner, as the US chipmaker would continue outsourcing production of advanced chips to TSMC, Intel chief executive officer Lip-Bu Tan (陳立武) said yesterday. “I don’t look at people as competitors. I look at the collaboration... Nvidia is also, you know, a good friend,” Tan told a news conference following his keynote speech at the Computex trade show in Taipei. “It’s a very trusted partnership for us... We are a big, top customer for them, and we’re going to continue doing that,” he said, referring to TSMC, the world’s largest foundry
RSS