Globalfoundries is reportedly looking for a buyer
Samsung or SK Hynix could acquire GlobalFoundries
Published: 19th February 2019 | Source: Business Korea |
GlobalFoundries is reportedly looking for a buyer
Last year, GlobalFoundries fell behind both TSMC and Samsung, halting their 7nm development plans to focus on their smaller process nodes. Reports at the time point towards financial strain on the company, as the R&D costs associated with creating leading-edge lithography nodes were seemingly too large to maintain moving forward.
Given the current political conflicts between the US and China, a Chinese buyer for GlobalFoundries is unlikely, with Business Korea listing Samsung and SK Hynix as potential buyers. Samsung would increase its market share to around 23% by acquiring GlobalFoundries, while also gaining access to the company's IP and talent pool, both of which will be important if they plan to continue gaining market share from TSMC.
Today, TSMC accounts for around 50% of the foundry market, acting as a dominant force within that space. Today only Samsung and TSMC create leading-edge lithography nodes that are available to 3rd parties, with Intel using their advanced process nodes to develop products internally.