The Semiconductor Industry Merger Layoffs Ensued Chip Price / OEM Impacted


Spread the global semiconductor industry, M & A boom, with a new generation of chip development costs dramatically, vendors must generate more revenue, mergers and acquisitions to become an important strategy to enhance the competitiveness manufacturers, the industry is expected to include memory, storage, network Road systems, processors, analog IC and other fields, will continue to see more mergers and acquisitions, not only the impact of human resources for the semiconductor and chip prices, OEM customers will also partner choice because fewer and impact.


 2015 semiconductor mergers and layoffs news reports, industry speculation have a great relationship with the product and operating conditions, such as Intel (Intel) to $ 16.7 billion to buy Altera, and NXP (NXP) to $ 10 billion to buy Freescale (Freescale), the number of layoffs will be less than the Avago (Avago) to $ 37 billion acquisition of Broadcom Layoffs (Broadcom) after, if coupled with the recent Qualcomm (Qualcomm) perking action, the semiconductor industry is worried that people will cause unemployment surge.


 As the overall semiconductor market slowdown, coupled with the industry mergers and acquisitions wave and poor operating conditions such as the semiconductor industry layoffs action in the ascendant, like Cypress in the March to $ 4 billion acquisition of US flash memory maker Spansion, lay off 1,600 people , accounting for 2 percent of the total number of employees; as Qualcomm 4,700 layoffs in July, accounting for 15% of the total employees.


 The industry believes that mergers and acquisitions wave is not over yet, there are still many acquisitions under negotiation, to simulate the IC field, for example, in the past the industry hundreds of millions of dollars in annual revenue as long as it is sufficient, but with the industry trends change, the analog IC industry The need for greater business scale, coming less than $ 1 billion in annual revenue, the relatively small size of the industry, converting industry to face new challenges, including the recent AnalogDevices and Maxim were reported being negotiated acquisition.


 In addition, with the growing cloud computing market, will also attract a lot of information storage solutions industry M & A wave starts to combine DRAM, NANDFlash, solid state drives and hard drives and other technologies, such as the end of October the hard disk factory Witten Electronics (WD) and storage plant SanDisk (SanDisk) expand M & A matters will be heard.


 It is worth noting that China will play an important player in the memory M & A wave in July mainland Unisplendour Group to Micron (Micron) proposed $ 23 billion acquisition price, but the industry believes that the US government is likely to oppose.
In addition, it includes an image sensor, network systems, processors, etc. are also popular areas of mergers and acquisitions, and even Amazon (Amazon), Apple, Google and other technology giants will become a potential force behind the chip industry mergers and acquisitions.


 As for the customers in the semiconductor industry, hardly stay out of the recent massive layoffs persistent movement, including Ericsson (Ericsson), HTC, Lenovo, Microsoft (Microsoft) etc came layoffs, the industry expected future mergers and acquisitions wave as the semiconductor industry, the industry will emerge More layoffs move.



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