We previously reported that Qualcomm is interested in buying not only the foundry but also the design division owned by Intel. It is seen as Qualcomm's aggressive attempt to dominate the chip market for personal computers after a long period of dominating the chip market for mobile smart devices.
According to a Bloomberg report, Qualcomm is now interested in taking over Intel completely but will only do so in January 2025 after the US presidential election. Qualcomm's acquisition of major chip companies such as Intel will lead to an investigation by the United States' anti-monopoly body.
If it happens Qualcomm will dominate the mobile device and personal computer chip market simultaneously. Intel is the largest recipient of CHIPS Act funds from the Biden administration to make the United States a global chip production hub to reduce dependence on Taiwan.
Seeing the next leadership of the United States is important for Intel because if Trump wins, he wants to increase tariffs on imported products up to 2000% percent which will have a big impact on the technology sector.
Delaying the purchase also gives Qualcomm room to look at Intel's situation after the Q3 financial report is announced. Intel is predicted to post a loss and this will reduce the value of the stock further allowing it to be bought at a lower price.
2024 was not a good year for Intel with more than 15,000 workers being laid off and the construction of two factories in Europe canceled. The effect is also seen in Malaysia but the good news is that the construction of the factory in Penang will continue with the scale only changed according to market needs.