Intel decided to invest in ARMjoining a list of leading companies in the industry such as Samsung, Alphabet (parent company of Google), Apple and Nvidia. An important decision, considering that ARM offers a processor architecture rivaling that of the American company.
Intel invests in ARM, a change of direction in the world of chips
This decision comes as ARM prepares for un initial public offering (IPO) in Borda under the wing of Softbank, with the intention of putting it on the market 95.5 million shares, valued between $47 and $51 each. Investors evaluate ARM 52 billion dollarsfar surpassing the nearly closed sales deal with Nvidia for 40 billion dollarswhich failed in 2022 due to regulatory hurdles.
Intel’s investment in ARM represents a bold move as the two companies they are direct competitors in the chip industry. This move allows Intel to diversify its offering beyond x86 chipsnot as efficient as the ARM chips currently produced.
Intel’s investment in ARM comes at a time of significant growth in the semiconductor industry, with strong support from the US government. Earlier this year, the Biden administration announced a $39 billion in financing for semiconductor manufacturing. Furthermore, Apple recently extended its licensing agreement with ARM until 2040demonstrating the continued importance of this architecture in the technology sector.
Intel’s investment represents a strategic move for the company, which aims to diversify its offering and access new markets. Collaboration between these two chip powerhouses could lead to significant developments in the tech industry in the coming years.