AMD Acquires Semiconductor Startup Pensando with an Investment of 2.3 Trillion Won

[Image source=Reuters Yonhap News]

[Asia Economy Reporter Jeong Hyunjin] U.S. semiconductor company AMD announced on the 4th (local time) that it will acquire semiconductor and software startup Pensando Systems for $1.9 billion (about 2.3 trillion KRW), according to the Wall Street Journal (WSJ).

According to the report, AMD revealed its plan to acquire Pensando on the same day. Pensando produces semiconductors and software that enable large server operators to increase data flow speed while reducing operating costs. WSJ reported that this acquisition is expected to provide AMD, targeting the rapidly growing data center market, with networking, security, and other service capabilities.

Pensando's CEO Prem Jain and other employees will join AMD after the acquisition. AMD expects the deal to be completed in the second quarter.

AMD is chasing Intel in the central processing unit (CPU) market used in PCs and data centers. It has recently strengthened its product competitiveness and rapidly increased its market share. Earlier, AMD completed the acquisition of Nasdaq-listed Xilinx for $35 billion in February.

Meanwhile, Qualcomm also announced on the same day that it finalized the acquisition of driver assistance technology company Arriver for $4.5 billion, together with investment firm SSW Partners.

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