This year, there are too many big mergers and acquisitions in the chip industry. Amd has just announced a $35 billion share swap for Xilinx, and there is another big acquisition in the chip industry. According to people familiar with the matter, the US $10 billion acquisition of inphi by Meiman Technology Group is close to completion. As soon as the news came out, the price of inphi rose by nearly 40% before the opening of trading, and rose by more than 20% at one time after the opening. Its market value soared by US $1.15 billion, about RMB 7.7 billion. So far this year, the company’s share price has risen more than 80%. < p > < p > The Wall Street Journal quoted people familiar with the matter as saying that Marvell Technology’s acquisition of inphi, a chip company, is nearing completion at a price of about US $10 billion, or about RMB 67 billion. < / P > < p > it is understood that the deal could be announced as early as Thursday local time in the United States, with 60% of the turnover to be paid in the form of shares and 40% in cash. The current market value of inphi is only about US $7 billion, and Marvell’s purchase price has a high premium rate, so Marvell once fell 8% after opening. < p > < p > according to public information, Marvell was founded in 1995 and headquartered in California, USA. Marvell is a global leading semiconductor company adopting fabless mode. Marvell has rich professional knowledge in microprocessor architecture and digital signal processing, and has launched a variety of platforms, including high-capacity storage solutions, mobile and wireless products. < p > < p > in recent years, Marvell has made a lot of moves in the field of M & A. In 2017, Marvell announced the completion of its merger and acquisition of rival Cavium. After the merger, the company will focus on the semiconductor infrastructure market, involving about $6 billion. Marvell acquired aquantia, an Ethernet connectivity company, for $13.25 per share or $452 million in 2019, with a total investment of $452 million. After the news, aquantia shares rose 36% in the session. < / P > < p > the acquisition of inphi is a chip manufacturer headquartered in California, the United States, whose chips can help speed up the processing of a large amount of information flow between computers and networks. The company focuses on the production of data center chips and provides a complete set of solutions for customers in the field of cloud computing and telecommunications. Microsoft and Cisco are both major customers of the enterprise. < / P > < p > it is worth noting that the process of large-scale M & A in the semiconductor industry is often long. AMD’s acquisition of Xilinx and the $10 billion acquisition of inphi by Meiman technology group are not approved, so whether the acquisition can be completed is still uncertain. < / P > < p > during the epidemic period, global network traffic increased dramatically, and data centers expanded to meet market demand, which benefited manufacturers of data center chips. According to Harlan Sur, JPMorgan analyst, inphi is the most promising semiconductor stock to deliver a good performance in the current market. “The technology upgrade cycle and the surge in capital expenditure have led to strong growth in terminal demand in data centers,” sur said < / P > < p > in April this year, Dr. Ford tamer, President and CEO of inphi, also pointed out in his article, “in the covid-19 era, bandwidth consumption has increased significantly, and video conferencing and chat have become our gateway to the outside world.” before covid-19, we have never done this before, and there is no doubt that we will do it again. It’s hard to have a group chat just by phone, but video chat seems very real and natural. ” < / P > < p > Dr tamer stressed, “the R & D investments we have made over the past decade have helped build a new, unrestricted digital world that I believe will be fundamentally different from today’s digital world. This is the digital world of Internet 3.0. We are investing in technologies that are necessary for Internet 3.0. ” < / P > < p > thanks to the expansion of the data center, inphi’s revenue also soared. In August this year, inphi announced its second quarter results as of June 30. The sales volume of inphi in this quarter was 175.3 million US dollars, up 103.2% compared with a year ago. The growth was mainly due to the expansion of market demand in cloud and telecom markets and the merger and acquisition of esilicon company completed on January 10 this year. < p > < p > 5g, the continuous development of cloud computing, and the increasing demand for computers, games and data centers during the epidemic period have all promoted the emergence of M & A in the chip industry. In July, Analog Devices Inc (ADI), a US semiconductor manufacturer, announced on Monday night that it would buy competitor Maxim integrated products for about $21 billion to increase its market share in the automotive and 5g chip manufacturing sectors. This is ADI’s biggest acquisition in history, with a market value of about $68 billion, which will compete with larger competitors, including Texas Instruments. On September 14, Softbank of Japan officially announced that Softbank group had reached an agreement with NVIDIA and arm board of directors to acquire arm company in the form of $40 billion in cash and stock. However, IOT IOT service department established under Softbank’s main investment will not be included in this transaction and will not be packaged with arm sell. < / P > < p > according to NVIDIA’s founder, “Simon segars and his team at arm have built an extraordinary company that contributes to almost every technology market in the world. Integrating the AI computing function of NVIDIA and the Arm wide ecosystem, we can push computing from cloud, smart mobile phone, PC, autopilot and robotics to the edge of Internet of things, and extend AI computing to every corner of the globe. < / P > < p > this week, amd announced another $35 billion acquisition of Xilinx, with a deal value of $35 billion. Amd expects the deal to be completed by the end of 2021. Under the agreement, 1.7234 amd shares will be replaced by each of Xilinx’s common shares. Amd shareholders will own about 74% of the merged company, and Xilinx shareholders will own the remaining 26%. There is a voice in the market that the frequent large-scale M & A in the chip industry means that the oligopoly trend of the industry is becoming more and more serious. The U.S. chip giants are consolidating their “overlord” status through M & A, and domestic chip enterprises should catch up with each other. However, the integration risk faced by chip giants after large-scale acquisition can not be ignored. CITIC Securities said in the research report that in 2006, amd acquired ATI, leading to AMD hovering at a low point for nearly 10 years. At the same time, we can see that after Intel completed the acquisition of Altera, the second largest FPGA enterprise, in 2016, the follow-up integration effect has not been as expected. < p > < p > according to Semiconductor Engineering website, the United States is making every effort to maintain its dominant position in the global semiconductor market, while its semiconductor industry is still facing two difficult problems. < p > < p > according to the website, the United States lags behind Asia in chip manufacturing technology. At present, the most advanced chip manufacturer in the United States is Intel, and its chip technology has only developed to 10nm, and the progress of 7Nm process is not smooth. The Asian companies represented by TSMC and Samsung have already started the research and development of 3nm chip technology, and 5nm chip is also in the stage of mass production. < / P > < p > Second, the chip capacity of the United States has been greatly lost, and it is transferring to Asian countries. According to the information released by the International Semiconductor Industry Association (semi), as of October 2020, there were only 76 chip factories in the United States, compared with 81 10 years ago (2010). In terms of factory chip capacity, the U.S. share of installed wafer plant capacity is 12% so far, compared with 37% 30 years ago (1990). However, the chip production capacity of China, South Korea and other Asian countries has increased significantly. According to the data estimated by the US semiconductor organization, the capacity share of China’s chip factories will rise to 15% in 2020, surpassing that of the United States. In 2000, China’s semiconductor production capacity accounted for only 3% of the global share. Spontaneous combustion at a Guangzhou Motor vehicle intersection and other traffic lights in Shenzhen

By ibmwl