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Factbox-Qualcomm's potential bid for Intel turns the spotlight on their products

Published 09/24/2024, 07:18 AM
Updated 09/24/2024, 07:20 AM
© Reuters. FILE PHOTO: A smartphone with a displayed Qualcomm logo is placed on a computer motherboard in this illustration taken March 6, 2023. REUTERS/Dado Ruvic/Illustration/File Photo
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(Reuters) - Qualcomm (NASDAQ:QCOM) has approached the once-dominant chipmaker Intel (NASDAQ:INTC) for a potential buyout, turning the spotlight on the portfolio of products these chip companies have to offer.

A deal would unite Qualcomm's mobile-focused Snapdragon line with Intel's dominant PC and server chip divisions, creating a semiconductor powerhouse.

Here are some of the areas where Qualcomm and Intel's product lines would come together:

PROCESSORS

Intel dominates the PC processor market with its Core series, which is widely used in desktops and laptops, while its Xeon series chips, designed to handle demanding workloads, are extensively used in servers and workstations.

Qualcomm is a leader in mobile chips, producing Snapdragon processors that are widely used in smartphones and tablets.

Intel also produces Atom processors for low-power devices, while Qualcomm has been expanding into laptop processors with its own compute platforms.

MANUFACTURING

Intel fabricates its chips in-house at company-owned facilities called "fabs," located in various parts of the world.

Qualcomm does not make its own processors but has partnered with contract manufacturers like Taiwan Semiconductor Manufacturing Co and Samsung (KS:005930) Foundry for chip production.

CHIP ARCHITECTURE

Intel primarily uses the x86 computing architecture, which is standard in desktops, laptops, and servers.

Qualcomm relies on Arm Holdings (NASDAQ:ARM)' processor architecture, which powers smartphones and targets low power consumption. Computer code built for x86 chips will not automatically run on Arm-based designs.

Intel has previously explored developing Arm-based chips, and software solutions are available to facilitate some compatibility between x86 and Arm architectures.

AUTOMOTIVE BUSINESS

Qualcomm also has a growing automotive business, focusing on technologies like connected cars, infotainment systems, and advanced driver-assistance systems.

© Reuters. FILE PHOTO: A smartphone with a displayed Qualcomm logo is placed on a computer motherboard in this illustration taken March 6, 2023. REUTERS/Dado Ruvic/Illustration/File Photo

Intel's chips are used in vehicles, powering infotainment systems, digital instrument clusters, and more. The company's advanced chips for cars support AI features like generative AI and camera systems that monitor drivers and passengers.

Intel also owns a majority stake in Mobileye Global (NASDAQ:MBLY) and recently confirmed that it would not divest its majority stake in the self-driving tech firm.

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