Featured Articles

LG G Watch R ships in two weeks

LG G Watch R ships in two weeks

The LG G Watch R, the first Android Wear watch with a truly round face, is coming soon and judging by…

More...
LG unveils NUCLUN big.LITTLE SoC

LG unveils NUCLUN big.LITTLE SoC

LG has officially announced its first smartphone SoC, the NUCLUN, formerly known as the Odin.

More...
Microsoft moves 2.4 million Xbox Ones

Microsoft moves 2.4 million Xbox Ones

Microsoft has announced that it move 2.4 million consoles in fiscal year 2015 Q1. The announcement came with the latest financial…

More...
Gainward GTX 970 Phantom previewed

Gainward GTX 970 Phantom previewed

Nvidia has released two new graphics cards based on its latest Maxwell GPU architecture. The Geforce GTX 970 and Geforce GTX…

More...
EVGA GTX 970 SC ACX 2.0 reviewed

EVGA GTX 970 SC ACX 2.0 reviewed

Nvidia has released two new graphics cards based on its latest Maxwell GPU architecture. The Geforce GTX 970 and Geforce GTX…

More...
Frontpage Slideshow | Copyright © 2006-2010 orks, a business unit of Nuevvo Webware Ltd.
Monday, 25 June 2012 10:53

MediaTek buys Mstar

Written by Nick Farrell



Writes a cheque for $3.8 billion


Taiwan’s largest chip designer MediaTek has written a $3.8 billion cheque for its smaller rival MStar Semiconductor.

According to Focus Taiwan the move might mean some short term pain for MediaTek but in the long term it makes sense. MediaTek and MStar, both make chips used in televisions and mobile phones.  The deal is the fifth-largest semiconductor acquisition in the past decade, according to data compiled by Bloomberg.

Analysts working for Deutsche Bank wrote to its customers that the deal will boost the companies’ competitiveness and increase bargaining power with suppliers. Jessica Chang said that industry consolidation between these two leading fabless companies will ease competition especially for mid- to high-end product segments and thus is good for margins of the both.

Merging the two companies creates the world’s fourth-largest chip designer behind Qualcomm, Broadcom, and AMD. Aaron Jeng, a Taipei-based analyst at Nomura, wrote the combined company would control 80 percent of the global market for chips used in TVs.

Nick Farrell

E-mail: This e-mail address is being protected from spambots. You need JavaScript enabled to view it
blog comments powered by Disqus

 

Facebook activity

Latest Commented Articles

Recent Comments