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Could Apple be eyeing Intel for acquisition?

The video suggests both Apple and Samsung are eyeing Intel, with whispers of acquisition or merger plans for the chipmaker as it faces rising challenges. This follows Apple’s 2019 purchase of Intel’s modem division, adding credibility to the possibility.

Written By: Saumya Nigam @snigam04 New Delhi Updated on: November 02, 2024 19:00 IST
intel, apple
Image Source : REUTERS Could Apple be eyeing Intel for acquisition?

The recent report from the YouTube channel 'Moore’s Law is Dead' has reignited speculation about Apple potentially buying Intel. As per YouTuber Tom S, there are 'whispers' of Apple’s interest in acquiring the chip giant, with Samsung also rumoured to have an eye on Intel.

Challenges Intel faces amid takeover rumours

Intel has faced challenges recently, with shrinking profit margins due to intense competition and missed opportunities in the booming AI chip sector. Its shares have dropped around 60 per cent since CEO Pat Gelsinger took over in 2021, and the company recently reported a significant USD 16.6 billion loss for Q3 2024.

Apple’s shift to custom silicon

Apple moved away from Intel chips in 2020, favouring its ARM-based silicon chips across its product range. This shift followed Apple’s 2019 acquisition of Intel’s modem division, but current rumours point to the possibility of a larger acquisition. However, these remain unconfirmed speculations, with no formal announcements from Apple.

Intel’s position in the AI landscape

While competitors like Nvidia dominate the AI chip market, Intel has struggled to capitalize on this segment. Despite these challenges, Intel remains a key player in the semiconductor industry, and an acquisition by Apple or Samsung could reshape the tech landscape.

 

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