Intel sells its entire stake in ARM, raising $150 million

Intel sells its entire stake in ARM following HUGE Q2 losses

2024 has been a bad year for Intel. The company has reported losses of $1.6 billion for Q2, and as a result, Intel are cutting costs. Now, it has been confirmed that Intel has sold its entire stake in ARM Holdings. This sale has reportedly generated Intel around $150 million.

ARM Holdings is the UK company behind the ARM CPU architecture. Its CPU core architecture is used in practically all modern mobile phones and tablets. Beyond that, ARM is making headway in the laptop PC and server CPU markets. With this in mind, ARM can be seen as one of Intel’s main competitors.

Intel has sold its 1.18 million ARM shares. It is likely that this was done to offset some of the company’s recent losses. While ARM is one of Intel’s competitors, they could also become a major Intel customer. Intel has opened up their silicon foundries to 3rd parties through their IDM 2.0 strategy. This could see ARM’s CPU cores get fabricated using Intel silicon.

Following their Q2 losses, Intel announced that over 15,000 jobs cuts. Furthermore, the company has postponed their highly anticipated Innovation 2024 event. Intel are taking drastic measures to reduce their expenditure. Even with these changes, it is unclear if Intel will be able to return to profitability in the short-term.

You can join the discussion on Intel selling its stake in ARM on the OC3D Forums.