GlobalFoundries gets regulatory approval for IBM chip business
GlobalFoundries has received regulatory approvals from the United States government in a $1.5 billion deal to take over IBM’s computer chip business
That’s according to a release posted on GlobalFoundries website yesterday. It says the acquisition is expected to close soon.
The companies announced in October that IBM would pay $1.5 billion over three years for GlobalFoundries to takeover IBM’s computer chip business in Essex Junction, Vermont, and East Fishkill, New York. The deal also gives GlobalFoundries control of thousands of IBM patents. In return, GlobalFoundries will produce computer chips for IBM for 10 years.
It allows IBM to focus more heavily on cloud computing and data analytics. GlobalFoundries will continue to expand its computer chip technology and increase production capacity. The company operates factories in Malta, New York, as well as Dresden, Germany and Singapore.