GlobalFoundries becomes an IBM supplier

IBM logoAs we reported yesterday, the US government cleared the acquisition of IBM’s semiconductor business by GlobalFoundries (GloFo).

And today IBM announced that that would mean to its future business.

GloFo will become IBM’s exclusive semiconductor supplier for the next 10 years – so it will make its POWER chips that go into Big Blue servers.

It’s not the end of the story for IBM semiconductor engineers, however. IBM Research will carry on doing semiconductor and material science and that will help the company to continue selling mainframes, storage and POWER systems to aid it in its push into cloud, big data and analytics systems.

IBM said that its semiconductor and material research has delivered important technology including copper chips, silicon germanium and quantum computing.

It’s good news for GloFo. The Abu Dhabi based company, which acts as a foundry to produce semiconductors for its customers, also gains access to leading IBM technology, including its state-of-the-art fabrication plant (fab) in New York State.