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Samsung May Acquire AMD to Compete with Qualcomm

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A new rumor suggests that Samsung is interested to acquire AMD. Though we are not sure why Samsung will take over AMD. For AMD it will be a good deal as it is struggling to enter the mobile processor market. But for Samsung, the company already has it own mobile processor lineup. So it is unclear right now what Samsung will gain from buying AMD.

Samsung’s two biggest competitors in the semiconductor business, Qualcomm and Intel must be worried by this rumor. Samsung used Qualcomm in most of its flagship devices in the past. But in its latest flagship, Galaxy S6, Samsung did not use Qualcomm Snapdragon chipset. It used it’s own 64 bit Exynos processor.

The original source is Hankooki, a Korean publication which suggests that an acquisition of AMD by Samsung would be a “win-win for both companies.”

They’ve used the example of a 2007 report from Samsung that suggested Ministry of Information and Communication Minister Chin said “it is necessary to consider an AMD acquisition in order to secure a new growth engine.”

But we should also think about the time frame. In 2007, Samsung did not have its own established mobile processors. But this is 2015 and Samsung already mass producing mobile chips.

Our take is that, this rumor does not have any substance and Samsung may never buy AMD.