Seeking Alpha

Privately-owned chip foundry Globalfoundries will probably buy IBM's chip division, says...

Privately-owned chip foundry Globalfoundries will probably buy IBM's chip division, says industry consultant Mike Bryant, citing rumors his firm has heard. IBM's chip division has been struggling, and saw a 13% Y/Y revenue drop in Q1. Acquiring it would give Globalfoundries additional scale to compete against top foundry TSMC (TSM), though integrating IBM's various plants and manufacturing processes wouldn't be a picnic.
Comments (3)
  • Sam Liu
    , contributor
    Comments (3864) | Send Message
     
    Thought IBM got out of these (not so profitable) businesses, especially after Apple went from the IBM chip to Intel
    18 Jul 2012, 12:33 PM Reply Like
  • Momintn
    , contributor
    Comments (4782) | Send Message
     
    IBM has some of the best plants you have ever seen. I hope this doesn't happen. It won't be good for the employees. And I don't really think it will do much for IBM's stock price either. As a shareholder, I want to keep the chips.
    24 Jul 2012, 09:39 AM Reply Like
  • belasz
    , contributor
    Comments (8) | Send Message
     
    Don't worry about the chip mfg. plants, the fountain of IBM knowledge is in their Research Division.
    3 Aug 2012, 10:51 PM Reply Like
DJIA (DIA) S&P 500 (SPY)
ETF Hub
ETF Screener: Search and filter by asset class, strategy, theme, performance, yield, and much more
ETF Performance: View ETF performance across key asset classes and investing themes
ETF Investing Guide: Learn how to build and manage a well-diversified, low cost ETF portfolio
ETF Selector: An explanation of how to select and use ETFs