On Semi buys Fairchild

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Fairchild almost had to sell. The semiconductor market is ever changing and currently struggling. Sad as Fairchild has always been one of the industry's quality leaders.

Intel is one of the few semiconductor companies that turned a profit this year.
Qualcomm got too big too fast IMO, and now they're both laying off and allowing contracts to expire. Here's a chart from the 1st quarter of this year, but it's still basically the same today.


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And after just a few days, NXP appears to be looking for other suitors.

NXP-Qualcomm Deal Now Seems Less Likely (QCOM, NXPI)
NXP-Qualcomm Deal Now Seems Less Likely (QCOM, NXPI) | Investopedia
According to Bloomberg, NXP hired Qatalyst Partners to launch a formal sales process to identify a buyer for NXP. Bloomberg, citing people with knowledge of the matter, reported Avago Technologies, Intel Corp. and Samsung Electronics are also said to be interested in NXP. Bloomberg speculated that NXP, which is still small despite its $12 billion acquisition of Freescale Semiconductor last year, may want to be gobbled up by a larger semiconductor company because the costs of production is rising and the number of customers is shrinking.
 
The Qualcomm buyout of NXP was regarded as a sure thing just a few weeks ago, but now it's unlikely. Not sure what happened, but I think Qualcomm did themselves a favor with their revenues down 25%.

My cousin's son worked for Qualcomm twice, once as a direct employee and once for a subcontractor. He preferred the subcontractor position as it was a lot less pressure. He's in Australia now doing the same thing - designing and troubleshooting networks and server arrays (and doing a lot of bicycling.)
 
Qualcom going from fabless to fab is puzzling -- eventually you have to replace all the old fab.

I don't think Qualcom shareholders are going to go for it. Seems to be a pretty substantial alteration of strategy.



Latest rumor this AM is that TI may buy NXP. Hmmmm....

That was in IBD this morning. Whatever. If the company (NXPI) has retained Qatalyst they are serious about a sale. Qatalyst was headed by Frank Quattrone the leading tech investment banker of all time.
 
I know we started the conversation about Fairchild and then got onto Qualcomm and NXP, but I like this thread. I've followed the electronics industry since the mid 70s. I can't even count how many of my family and extended family members are or were involved in it one way or another.

And I just read this about Intel announcing that they going to develop its Stratix 10 FPGA with ARM architecture. This may be Intel testing the non-x86 waters which IMO, is getting near its EOL.

Intel moves beyond x86, puts 64-bit ARM processor in new FPGA chip | Computerworld
 
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