Qualcomm, the American multinational corporation best known for its range of semiconductors, software, and services related to wireless technology, including the ubiquitous family of Snapdragon SoCs for mobile devices, is unlikely to purchase Intel despite recent reports that suggest otherwise, including those that have claimed Qualcomm CEO Cristiano Amon himself is deeply involved in negotiations to acquire the five-decade-old company, according to the latest thoughts shared by industry analysts. The deal, while “intriguing,” probably won’t happen for reasons relating to antitrust, not to mention Qualcomm’s lack of experience in running a chip factory, one expert explained.
Analysts are saying:
- Bob O’Donnell, TECHnalysis Research founder
- “The rumored deal between Qualcomm and Intel is intriguing on many levels and, from a pure product perspective, makes a certain degree of sense as they have a number of complementary product lines.”
- “The reality of it actually occurring, however, is very low. Plus, it is unlikely Qualcomm would want all of Intel and trying to break apart the product business from the foundry business right now just would not be possible.”
- Stacy Rasgon, Bernstein
- “We do not know why Qualcomm would be a better owner for assets.”
- “We do not really see a scenario without them either; we do not think anyone else would really want to run them and believe scrapping them is unlikely to be politically viable.”
A look at Qualcomm’s current performance in the market versus Intel:
From a previous report:
Qualcomm CEO Cristiano Amon is personally involved in the negotiations to acquire five-decade-old Intel, according to the source who was briefed on the matter. Another person familiar with the situation said Amon has been actively examining various options for a deal for the company.
Earlier this month, Reuters reported that Qualcomm explored the possibility of acquiring portions of Intel’s design business and that its PC design unit was of particular interest. Qualcomm executives were examining Intel’s entire portfolio of businesses.