The American technology AMD reached an agreement to acquire the manufacturer of microprocessors Xilinx for 35,000 million dollars, an operation that will now have to be reviewed by regulatory bodies.
The firm based in Santa Clara (California, USA) reported the agreement in a statement, in which it noted that its plans are to close it permanently at the end of 2021, thus creating one of the largest semiconductor companies in the world, with 13,000 engineers.
AMD currently has a market value of more than 100 billion dollars, after its shares soared 89% this year thanks to the demand for computers, game consoles and other devices that use its chips, whose sales have been reinforced by the coronavirus pandemic.
AMD and @XilinxInc announce an agreement for AMD to acquire Xilinx—expanding our rapidly growing data center business and creating the industry’s leading high performance computing company.
— AMD (@AMD) October 27, 2020
For its part, Xilinx has a market capitalization of about 26,000 million dollars, to which the premiums in the operation have been added to result in the total amount of 35,000 million.
AMD microchips are currently used in both computers and devices such as PlayStation and Xbox, and it also has a growing data center processor business, increasingly rivaling Intel, the market leader.
With the also American Xilinx it would accelerate this competition, gaining a more important position in the telecommunications and defense markets, where this company is very present.
Xilinx’s chips are used among other things for new 5G communications infrastructures, but its business has recently been hit by tensions between the United States and China, as its customers include the Chinese Huawei, which Washington has joined. tax limitations.
Amelia Warner
Amelia Warner writes all the Latest Articles. She mostly covers Entertainment topics, but at times loves to write about movie reviews as well.
