AMD, to acquire Pensando for a reported $1.9 Billion deal!
Advanced Micro Devices Inc. set to buy chip and software startup Pensando Systems Inc. for $1.9 billion, shortly after closing its biggest-ever transaction with Xiling inc
The proposed deal, which AMD disclosed, would add to its product as semiconductor vendors reposition their offerings to take advantage of growing demand for chips.
Pensando would give AMD capabilities in the fields of networking, security and other services aimed at the data-center market, which has grown explosively as companies embrace digital tools.
- Acquisition would bolster AMD’s offerings for the fast-growing data-center market!
Pensando, produces chips and software designed to speed data flow and lower operating costs for big server farms, Bloomberg said.
*Pensando tweet on AMD deal
We’re excited to be joining the @AMD family as they double down on data center #innovation and customer success. https://t.co/HfNn8RUfOM pic.twitter.com/jJFPHoc3jB
— AMD Networking (@AMDNetworking) April 4, 2022
There has been a hectic of deal making in the chip industry in recent years, including,
- AMD’s $35 billion purchase of chip maker Xilinx Inc
- Graphics-chip giant Nvidia Corp. pursued British chip-design firm Arm but called off the blockbuster transaction in February amid regulatory challenges.
- Qualcomm Inc. on Monday said it closed a previously agreed deal that gives it control of driver-assistance-technology company Arriver, previously a unit of Swedish autonomous-driving specialist Veoneer.
While Intel acquired Tower Semiconductor a leading foundry for analog semiconductor solutions, a definitive agreement under which Intel acquired Tower for $53 per share in cash, approximately $5.4 billion deal.
AMD, the company also has a big business supplying graphics-processing chips for personal computers and videogame consoles.
AMD had a 10.7% share of the market for data-center CPUs in the final quarter of 2021, according to Mercury Research, up by 3.6 % from a year earlier.
