Leading Chip maker, Intel has announced it is acquiring Altera, another maker of programmable chips in a $16.7 Billion deal ($54 per share in an all-cash transaction).
Intel sees Altera’s low-power chips such as field-programmable gate array (FPGA) as reprogrammable and the company would explore the avenue of editing ans customising them for different functions. Once the deal is completed, Altera will become a subsidiary of Intel and would continue to sell its products.
However, Intel would be able to integrate any of their solution into their products and the company has announced that it would integrate Altera FPGA with Intel Xeon processors – this would give manufacturers of embedded system, servers and workstation the chance to further customise their own chips.
Intel is one of the largest makers of chips for PCs, tablets and notebooks and tablets and also the company plays a key role in the server Industry. With dwindling sales in the PC industry, Intel is turning it’s attention to mobile devices solution – Internet of Things (IoT).
Internet of Things is earmarked to be one of the next big things in a few years to come; Intel would face off with the likes of Samsung, Qualcomm, NVIDIA and others making use of ARM-based chips.
Similarly, wireless-chip maker Broadcom was acquired last week by Singapore-based Avago Technologies for an amount worth $37 Billion. The deal is earmarked as the biggest technology acquisition ever.
Avago will pay $17 billion in cash and $20 Billion in stock which matches Broadcom’s $54.50 per share in cash for about 140 million shares. The combined company would be named Broadcom Ltd and Broadcom shareholders would own 32% of the company. The deal is expected to close by the first quarter of 2016.
Image by Notebookitalia.it
