Re:Intel in talks to buy GlobalFoundries for about $30B
by csdreamer7 on Thursday July 15, 2021 @10:05PM
(#27852340)
Now this is some good insight on why Intel would buy GF. That cross-licensing deal alone I can see being very useful for Intel as they push in to EUV.
Re:Intel in talks to buy GlobalFoundries for about $30B
by als0 on Friday July 16, 2021 @07:58AM
(#27855364)
I would expect a cross licensing deal to include clauses to cover the situation where one of the parties gets acquired. For example, AMD would break their cross licensing deal with Intel if they were bought.
Intel has historically been willing to play dirty, like messing with compilers to benefit Intel over Amd[2]. Or like when they gave kickbacks to OEMS [2]. Or when they paid vendors to not support AMD fully in software[2]. Or just plain old false advertising [2]. Actions like these is what led to a 1.25 Billion dollar settlement with AMD [3].
Outside of playing dirty, it is a good strategic move for their new foundry business. You get the tools, know how, processes, and most importantly customers that can make the venture a success. Intel has had a foundry business before [4], but they closed it. "ecosystem is everything with the foundry business and that takes time, money, and technical intimacy," [4]. Intel has money, and they are buying the years in the foundry business they missed along with technical intimacy to more standard tools. So, I think it makes sense from a business perspective, as it gives Intel a recurring revenue for its older processes and in turn greater advantage from its vertical integration.
[1] https://www.anandtech.com/show/15038/globalfoundries-and-tsm... [2]https://www.anandtech.com/show/3839/intel-settles-with-the-f... [3] https://www.cnet.com/news/intel-to-pay-amd-1-25-billion-in-a... [4] https://semiwiki.com/semiconductor-manufacturers/intel/7912-...