July 21 (Reuters) – For Intel Corp (INTC.O) Chief Executive Pat Gelsinger, an obvious strategy in his high-stakes bid to make the company a player in producing chips for others would be a transformational acquisition, analysts say.
But there is just one problem – a dearth of acquisition targets for Intel to buy.
The conundrum came into focus last week when the Wall Street Journal reported that Intel was considering a purchase of chipmaker GlobalFoundries for $30 billion.
Intel reports earnings Thursday, and despite a booming PC market, analysts expect a 9.8% drop in sales to $17.8 billion as Intel loses share to rivals like Advanced Micro Devices Inc (AMD.O).
Buying a foundry would give Intel “real customer support people, as opposed to technologists who have mainly been told what to do by management,” said Dan...read more...