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Globalfoundries interested in unwanted IBM chip fabs?

Posted on Friday, April 04 2014 @ 15:29:19 CEST by


Globalfoundries logo
Bit Tech reports Globalfoundries has been named as the strongest contender to buy IBM's underused semiconductor fabs. Big blue is reportedly looking to exit the fab business due to reduced mainstream demand for its Power architecture. Although Globalfoundries is the most likely fit, a deal is not expected imminently due to IBM's high asking price.
The Wall Street Journal, quoting unnamed sources 'familiar with the matter', claims that talks are in progress for GlobalFoundries to buy the now-unwanted IBM plants. Another company named as a bidder for the facilities is Intel, but with the company having recently opted to abandon a fully-finished fabrication plant due to a lack of demand for its capacity, GlobalFoundries is considered to be in a stronger position.

The WSJ's sources warn that a deal is unlikely to happen imminently, however. IBM is claimed to be looking for at least $2 billion for the facilities, while bidders including GlobalFoundries and Intel have yet to offer substantially more than half that price.



 



 

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