According to two informed sources, Qualcomm has explored the possibility of acquiring a stake in some of Intel's design businesses to enhance its product portfolio.
The sources said that Qualcomm has considered acquiring various Intel businesses, as Intel is currently working to generate cash flow and is looking to divest business units and sell other assets.
One of the sources mentioned that Qualcomm executives are particularly interested in Intel's client PC design business, but they are examining all of the company's design departments.
Another source familiar with Qualcomm's operations indicated that acquiring Intel's other businesses, including its server business, would be of limited significance to Qualcomm.
An Intel spokesperson stated that Qualcomm has not approached Intel regarding a potential acquisition and declined to comment on the plans. The spokesperson added that Intel is "highly committed" to its PC business. Qualcomm declined to comment.
Qualcomm, with a market value of $184 billion and known for its smartphone chips, including customers like Apple, has been planning to acquire Intel's business for several months. The sources noted that Qualcomm's interest and plans are not finalized and could change.
In August, Intel reported disastrous second-quarter results, announced a 15% workforce reduction, and suspended its dividend. Executives are working on how to fund the company's manufacturing plans and generate cash flow.
Intel's board will meet next week to discuss proposals by CEO Pat Gelsinger and other executives to cut business operations to save cash. Reportedly, potential options include selling its programmable chip division Altera, divesting part of its self-driving technology unit Mobileye, and selling its foundry and other semiconductor businesses.
