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Intel rejects Arm's approach for product division, Bloomberg News reports

Published 09/26/2024, 11:24 PM
Updated 09/27/2024, 12:25 AM
© Reuters. FILE PHOTO: A smartphone with a displayed Intel logo is placed on a computer motherboard in this illustration taken March 6, 2023. REUTERS/Dado Ruvic/Illustration/File Photo
INTC
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(Reuters) -Arm Holdings approached Intel (NASDAQ:INTC) about potentially acquiring the company's product division but was told that the business is not for sale, Bloomberg News reported on Thursday.

The British chip firm did not express interest in Intel's manufacturing operations, the report added, citing a person familiar with the matter.

The report did not mention any financial details, nor did it say whether the talks are still ongoing or have been abandoned.

Arm and Intel declined to comment on the report.

Once the dominant force in chipmaking, Intel ceded its manufacturing edge to Taiwanese rival TSMC and failed to produce a widely desired chip for the generative AI boom capitalized on by Nvidia (NASDAQ:NVDA) and AMD (NASDAQ:AMD).

Qualcomm (NASDAQ:QCOM) has also approached Intel to explore a potential acquisition of the troubled chipmaker, Reuters reported earlier this month, in what could be a transformational deal in the sector.

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

Intel has been attempting to turn its business around by focusing on AI processors and creating a chip contract manufacturing business, known as a foundry.

The company plans to pause construction on factories in Poland and Germany, and reduce its real estate holdings.

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