Advanced Micro Devices Inc. Buys Xilinx for $35 Billion.
Advanced Micro Devices Inc. plans to buy rival chip maker Xilinx Inc. in a $35 billion deal, further consolidating the semiconductor industry. The industry is in the middle of a seismic transformation both by a wave of corporate transactions and a pandemic that has driven demand through the roof. The deal must pass regulator scrutiny in the U.S. and abroad.
AMD specializes in central-processing units and graphics chips and have seen their stock rise with an increased sale of laptops this year cause of the pandemic and gaming systems such as Microsoft Corp.’s Xbox and Sony Corp.’s PlayStation that use AMD chips. The company has also benefited from a business selling processors for data centers that has taken off with the introduction of new generations of high-performance chips in recent years under Chief Executive Lisa Su, making it a more formidable competitor to larger rival Intel Corp.