Taiwan Semiconductor Manufacturing or TSMC (TPE:2330) and US firm Broadcom are exploring to acquire stakes in Intel, potentially leading to the chipmaker's breakup, Wall Street Journal reported Saturday, citing people familiar with the matter.
TSMC is considering buying some or all of Intel's chip plants, possibly with an investor consortium. Meanwhile Broadcom is considering a bid for Intel's chip-design and marketing unit but wants a partner for its manufacturing business, the report said.
The parties are not collaborating on the potential acquisitions, and the discussions are still in early stages, the report added.
Intel's struggles began after falling behind TSMC in advanced chip manufacturing and failing to execute CEO Pat Gelsinger's turnaround plan before ousting him in December. The company is now splitting off its manufacturing unit, indicating a potential separation, reportedly.
The Trump administration encouraged TSMC to consider a deal, but a White House official said the president is unlikely to support foreign control of Intel's factories, the news outlet said.
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