GlobalFoundries Acquires MIPS: A Strategic Move into RISC-V and AI Processor IP

GlobalFoundries to make RISC-V CPUs -- fab acquires MIPS, will integrate RISC-V and AI IP into its portfolio

GlobalFoundries announced on Tuesday that it had entered into a definitive agreement to acquire MIPS, a developer of RISC-V-based solutions and IP. The deal will enable GlobalFoundries to offer its own processors and other products based on the RISC-V instruction set architecture (ISA), which will make the company a rival to some of its foundry clients. Yet, the companies stress that MIPS will operate as a standalone business. The takeover enhances GlobalFoundries' IP portfolio with MIPS' technologies, including the company's general-purpose CPU IP, AI inference acceleration IP, and various sensors. MIPS recently expanded its processor offerings based on the RISC-V ISA, so its Atlas product line includes a variety of cores suited for both general-purpose and real-time processing, as well as specialized cores designed for AI edge workloads. These cores are designed to enable high performance at a relatively low power consumption for compute-heavy workloads in embedded systems. The integration of MIPS into GlobalFoundries will give the former access to differentiated process nodes and secure, global fabrication sites. This will likely not only enable tighter alignment between processor IP and process technologies and faster time-to-market, but will let MIPS compete for orders from customers demanding production at secure facilities, such as the U.S. Department of Defence. Keep in mind, though, that MIPS integration into GF will likely take years, so it is too early to talk about advantages or additional orders. The deal is intended to strengthen GlobalFoundries' ability to offer integrated solutions across a range of end markets, which somewhat changes the company's positioning from a contract chipmaker to a producer of integrated compute solutions for various general-purpose and AI applications and a foundry. "Through this acquisition, we will expand our capabilities to offer customers more flexible solutions, paired with our differentiated process technologies and world-class manufacturing to help them build best-in-class products," said Niels Anderskouv, president and chief operating officer at GlobalFoundries. "This acquisition will be a powerful step forward to push the boundaries of efficiency and performance across a broad range of applications in automotive, industrial and datacenter infrastructure." Following the completion of the transaction, MIPS will continue to function as an independent business unit within GlobalFoundries. It will maintain its existing relationships with other foundries and customers, and support a wide range of technologies across multiple industries. "Becoming part of GlobalFoundries marks the start of a bold new chapter for MIPS," said Sameer Wasson, CEO of MIPS. "GF's proven track record in delivering differentiated technologies through a secure, global manufacturing footprint will enhance our ability to accelerate innovation and scale our solutions, unlocking new opportunities in the Physical AI space and driving even greater value for our customers." GlobalFoundries anticipates completing the deal in the second half of 2025. The acquisition remains subject to customary regulatory reviews and closing conditions. "MIPS brings a strong heritage of delivering efficient, scalable compute IP tailored for performance-critical applications, which strategically aligns with the evolving demands of AI platforms across diverse markets," Anderskouv said.

Exclusive: GlobalFoundries says MIPS takeover will expand its business without creating competitive friction with its clients

When GlobalFoundries announced plans to acquire MIPS earlier this week, it looked like the company decided to change its strategy once again and build its own processors, thus competing with some of its customers. However, after talking with the company, we can confirm that this is not the case and that GlobalFoundries does not have ambitions to become an integrated device manufacturer. Instead, it will be able to offer a pret-a-porter compute IP to its clients to speed up their time to market. "The acquisition of MIPS will enhance GlobalFoundries' ability to deliver more complete and differentiated offerings to its customers," Erica McGill, director of corporate communications at GlobalFoundries, told Tom's Hardware. "By integrating MIPS' proven RISC-V processor IP and software tools, GF customers will benefit from broader access to compute IP, improved time-to-market, greater flexibility and openness, and better technologies for high-growth markets. The move will position GF as a more strategic partner, offering not just manufacturing but also foundational compute technologies that will help customers build smarter, faster and more efficient products." GlobalFoundries reiterated its status as a pure-play foundry, saying the acquisition does not signal a pivot toward designing or selling chips directly. Instead, the goal is to support customers -- especially those new to silicon development or seeking vertically integrated solutions -- with ready-to-use IP blocks that simplify system design. Concerns that this move could turn GlobalFoundries into a competitor for its own fabless clients are unsubstantiated. "We remain a pure-play foundry focused on enabling our customers to build world-class products on our platforms," said the spokesperson for GlobalFoundries. "The acquisition expands our capabilities to better support fabless customers with a more comprehensive set of offerings, especially for first-time silicon builders or those targeting vertical integration." By offering RISC-V processor IP, GlobalFoundries acknowledges it may now compete with established IP vendors such as Andes Technology. However, it believes the ability to pair IP with differentiated manufacturing processes and secure production gives it a distinct advantage in the market. Foundries tend to offer various IPs to their customers, but these are relatively simple IPs, such as interfaces. Companies like Arm do offer their cores tailored for select process technologies, though. However, GF will be the first contract chipmaker to offer compute IPs based on the open-source RISC-V instruction set architecture (IPs). This will greatly enhance the value of its services to many customers among newcomers. The company plans to support MIPS' portfolio of processor cores built on the open RISC-V architecture, which will serve compute needs in a variety of applications, thus enhancing GF's ability to serve new markets and applications. "MIPS' proven processor cores will complement GF's existing IP offerings, enabling customers to build differentiated products across a wide range of markets," said McGill. "This includes compute subsystems for autonomous platforms, embedded systems, and intelligent edge devices. Following the closing, GF is committed to supporting MIPS' portfolio of open RISC-V-based instruction set architecture (ISA) processors and its broader ecosystem. Beyond edge AI applications, the combined capabilities of GF and MIPS are particularly well-suited for high-growth sectors such as automotive, internet of things, and datacenter infrastructure applications. These segments demand real-time compute, safety certification, and scalable architectures." While GlobalFoundries will own MIPS and will offer its proven IP to its clients, MIPS will continue to operate independently, maintaining current customer relationships and honoring existing projects and agreements. Clients will continue working with their established account and support teams. The company stressed that there will be no disruptions to service or product availability. In addition, MIPS will continue working with other foundries. "In line with our strategy to operate MIPS as an open and independent IP provider, there are no plans to change its current offerings or how customers engage with the company," said the spokesperson. "MIPS customers will continue working with their existing account and support teams just as before, and all ongoing projects and agreements will carry on without interruption."

GlobalFoundries takes MIPS under its wing; Imagination shoots down SMIC takeover talk

With TSMC commanding the lion's share of foundry orders for data center AI accelerators, second-tier players like UMC, GlobalFoundries (GF), and SMIC are urgently repositioning to tap into the AI market. Each is adopting a unique strategy to stay relevant in a rapidly intensifying competitive field. UMC has been quietly enhancing its advanced packaging capabilities since 2024 through a collaboration with Taiwanese OSAT leader ASE Holdings. It has reportedly landed advanced packaging orders from Qualcomm, likely targeting edge AI, marking a strategic move into markets less dependent on cutting-edge nodes. SMIC has avoided public discussion of sub-7nm process ambitions, but despite escalating US export restrictions, the company is quietly advancing in both edge and cloud AI domains, albeit under significant regulatory pressure. GlobalFoundries snaps up MIPS amid growing RISC-V uncertainty GlobalFoundries has announced its acquisition of MIPS, a veteran in RISC architecture, marking a rare integration of foundry and IP provider. The deal highlights GF's bet on the long-term potential of RISC-V processors in edge AI, even as industry peers retreat from similar plays. Coinciding with the MIPS deal, Chinese social media began spreading unverified reports that SMIC had acquired the GPU IP unit of UK-based Imagination Technologies through a wholly owned subsidiary, allegedly with approval from Chinese and EU regulators. Imagination swiftly denied the rumors, stating via its official WeChat channel on July 8 that the claims were "entirely fabricated." The company emphasized it had not agreed to sell its GPU IP business and warned the misinformation could damage its brand and partner trust. It also launched legal and monitoring efforts to track the source. Geopolitics and legacy weigh heavily on Imagination, MIPS While MIPS has found stability under GF, Imagination remains cautious about acquisition prospects amid rising geopolitical sensitivities tied to Chinese ownership. Now owned by China-linked fund Canyon Bridge, the UK-based firm lost major business after Apple's shift to in-house GPUs. Despite Chinese backing, its UK presence makes any SMIC tie-up, real or rumored, fraught with political risk. According to ICsmart, even if SMIC could technically acquire Imagination from Canyon Bridge, the move might trigger fresh sanctions, potentially harming both companies more than it helps. The MIPS deal also puts a spotlight on the instability within the RISC-V ecosystem. European firm Codasip is now up for sale, and US-based Esperanto Technologies has shelved plans for a 1,088-core RISC-V AI accelerator. These setbacks contrast with GF's bullish stance, raising doubts about whether MIPS can deliver meaningful value. MIPS has weathered decades of turbulence. Founded at Stanford by John Hennessey and Chris Rowen, it was acquired by SGI in 1992, spun off in 1998, and then bought by Imagination in 2013 before being passed to Tallwood Ventures in 2017. Apple's 2017 split with Imagination triggered a fresh downturn, leading to MIPS's 2018 sale to Wave Computing, until Wave's 2020 bankruptcy forced yet another reset focused on RISC-V. MIPS CEO Sameer Wasson said joining GF gives the company both credibility and a stable corporate parent, opening doors to growth opportunities previously out of reach. He added that with RISC-V firms under growing pressure, MIPS gains long-term viability and deeper customer engagement as part of GF. The MIPS-GF tie-up has received mixed reviews, given MIPS' rocky history. Meanwhile, Imagination continues to walk a fine line, seeking its own AI breakthrough while navigating political and ownership complexities.

GlobalFoundries to Acquire AI and Processor IP Supplier MIPS

GlobalFoundries, Inc. specializes in the design, manufacture and marketing of semiconductors for the automotive and consumer electronics industries. Net sales break down by family of products and services as follows: - semiconductor wafers (90.3%): power management integrated circuits, battery management integrated circuits, microprocessors, connectivity, etc.; - semiconductor masks (9.7%). In addition, the group offers engineering and wafer testing services, etc. At the end of 2024, GlobalFoundries, Inc. has 4 production sites in the United States (2), Germany and Singapore. Net sales are distributed geographically as follows: the United States (55%), Europe/Middle East/Africa (21.1%) and other (23.9%).