Analysts look at the possibility of Altera being purchased by Intel. Experts say that it would be a profitable deal for both of the companies.
The Intel Company leads a campaign that targets to end with the acquisition of another well-known company in the field, Altera. However, details about the deal were not revealed. Until now, Intel has kept the price that they would pay for purchasing Altera as a secret, refusing to publicly present other details of the attainment that could be of interest to both experts and technology enthusiasts.
But anyways, one thing is clear to the analysts. The fusion between Intel and Altera would be a success for both sides. While Intel would gain a fresh line of business and also the capacity to assure necessary production work to the company`s laboratories, Altera would have the chance to accelerate its progress on the data center market, which passes through a phase of rapid development.
Developers at Altera are well-known for the quality of the FPGAs (an acronym for field programmable gate arrays) they create. The integrated circuits are often used in the manufacturing of CPUs, because they enhance the performance speed of computers. Programmers can get FPGAs to accomplish a large variety of operations.
On the other hand, Intel does not produce its own field programmable gate arrays. Instead, the company has signed a contract in 2013 which enacts a service by Altera in order to fill this gap. But, buying Altera would allow Intel to produce all the chips that are currently developed by Altera and made by one of Intel`s rival companies, Taiwan Semiconductor Manufacturing Company (TSMC). Moreover, Intel could benefit from this acquisition in another way. They could integrate the FPGA technology of Altera in their own chips, making a progress in the data center market, by becoming one of the main processor makers in the field.
As for Altera, they could make an even bigger step in order to become a top company in the data center market, which is already one of their main areas of activity. Analysts say that Intel being present alongside Altera would represent a strong advantage for the company`s rise.
Some experts estimate that it would cost Intel 10 billion dollars to purchase Altera. Some of the local vendors could be affected by the fusion between the two companies.
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