AMD is negotiating to acquire Xilinx for $30 billion
The chipmaker AMD is currently in talks with rival programmable logic chipmaker, Xilinx. Xilinx is a well-known chip manufacturer in the industry, and its programmable logic chips are widely used in various network equipment, Internet of Things equipment, and industrial control equipment.
The current market value of Xilinx is approximately US$26 billion, so the industry predicts that AMD may negotiate with a premium of US$30 billion to acquire Xilinx as a wholly-owned subsidiary.
People familiar with the matter said that the negotiations between AMD and Xilinx were not smooth until the recent resumption of negotiations and it is possible that the transaction will be finalized and announced next week.
Image: AMD
At present, the main competitors of AMD in the chip field are Intel and Nvidia. Of course, AMD is relatively lagging in terms of market share.
Intel far surpasses AMD in business such as desktop processors, especially data centers, and Nvidia also surpasses AMD in terms of graphics cards.
The good news is that the current strength and competitiveness of AMD are also growing rapidly. During the epidemic, PCs, game consoles, and other devices also used AMD CPUs in large numbers.
The acquisition of Xilinx is naturally to continue to improve the overall competitiveness of AMD, which will help AMD to rapidly increase its market share in the network and defense.
At present, AMD and Xilinx have not issued a statement on the rumors, but the media also emphasized that it is still only at the negotiation stage.
AMD’s stock price has similarly increased by 90% this year, and its market value has exceeded US$100 billion. Xilinx’s current market value is approximately US$26 billion and a cumulative increase of approximately 9% during the year.
