Qualcomm Acquires Alphawave Semi for $2.4 Billion to Boost Data Center and AI Capabilities

Qualcomm acquires Alphawave Semi for $2.4 billion - says its leading high-speed wired tech will accelerate data center expansion

Alphawave Semi's technology will bolster upcoming chips with Qualcomm Oryon CPU and Hexagon NPU tiles. Fabless chipmaking giant Qualcomm is set to grow yet stronger with a $2.4 billion agreement to acquire Alphawave Semi now inked. Qualcomm's freshly acquired wholly-owned subsidiary is best known for its high-speed wired connectivity and compute technologies. This deal appears to offer great synergies, particularly in the wake of Qualcomm confirming its reentry to the data center market in mid-May. Please keep this news between you and us, for now, dear readers, as Qualcomm's press release date indicates this acquisition announcement was supposed to hit the wires tomorrow. (Or it's a typo) Qualcomm was already poised to make a big splash with its new data center processors. Its Oryon CPU cores have a great reputation for processing power and efficiency. Moreover, it should follow up with second and third generation Oryon cores from its Nuvia team in the coming months. The chipmaker also has a potent Neural Processing Unit (NPU) in the heart of the Hexagon processor. This has also been earmarked for deployment in any upcoming data center processor. Qualcomm's Hexagon NPU is designed for AI inference, machine learning, a multimedia processing prowess. It is also highly efficient, with its roots in the mobile Snapdragon range of SoCs. Alphawave Semi is a UK-based company that was founded in 2017. In its own words, it claims to "design industry-leading, high-speed connectivity solutions." Its product portfolio has been tuned to address data center, AI, 5G, networking, autonomous vehicles, and flash storage markets. In today's press release, Cristiano Amon, president and CEO of Qualcomm, makes clear that the technology that will be onboarded from Alphawave Semi will be "complementary to our power-efficient CPU and NPU cores." Going forward, Amon sees the combined teams working in concert to enable "next-level connected computing performance" in segments such as the data center market. With the agreement as it stands, the two parties expect to complete the acquisition by Q1 2026. There are the usual arrays of financial, legal, and regulatory hurdles to cross now with a sizable multinational deal like this. Last but not least, while this acquisition deal is interesting in its own right, the implications on the competitive landscape of the server processor market might be even more stirring. It remains to be seen the size of the splash Qualcomm can make, though, as it will have a tough fight against incumbent and innovative tech giants like Intel, AMD, Nvidia, Google, and Amazon.

Qualcomm confirms buyout offer for Brit chip firm Alphawave

Another Brit tech biz to be Yanked from London Stock Exchange Qualcomm has bid $2.4 billion to buy London Stock Exchange-listed connectivity specialist Alphawave Semi. If approved it will see yet another British tech business put under the control of an overseas owner. Alphawave, whose IP is incorporated into some cutting-edge silicon photonic interconnects, said it has agreed the terms and conditions of a takeover by California-based Qualcomm, which makes smartphone and wireless chips. Interest in the purchase was first signaled by Qualcomm at the start of April, and the deadline for a final decision has subsequently been extended multiple times, most recently on June 5. Qualcomm said the acquisition will provide key assets for its expansion into datacenters. The company recently confirmed it is getting back into the datacenter silicon game after pulling out in 2018 following a failed effort to deliver Arm-based server products. This time around, the US chipmaker believes its Oryon CPU and Hexagon NPU cores are poised to tap into growing demand for high-performance, low-power compute. This is fueled by AI inferencing and the transition to custom CPUs powering servers by the hyperscale operators, such as AWS with its Graviton processors and Microsoft's Cobalt 100 chips. Alphawave's nous in high-speed connectivity made it a target for tech firms needing higher performance and lower power links inside datacenters. Earlier reports suggested that chip designer Arm was also seeking to buy Alphawave to expand its own portfolio, but decided not to pursue the matter following preliminary discussions. Instead, Alphawave's products and technology are set to form a part of Qualcomm's infrastructure platforms to power services in a wide array of applications, including datacenters, AI, data networking, and data storage. "Alphawave Semi has developed leading high-speed wired connectivity and compute technologies that are complementary to our power-efficient CPU and NPU cores," Qualcomm chief Cristiano Amon said in a statement. "The combined teams share the goal of building advanced technology solutions and enabling next-level connected computing performance across a wide array of high growth areas, including datacenter infrastructure." Alphawave president and CEO Tony Pialis claimed the takeover is a "significant milestone." "By combining our resources and expertise, we will be well-positioned to expand our product offerings, reach a broader customer base, and enhance our technological capabilities. Together, we will unlock new opportunities for growth, drive innovation, and create a leading player in AI compute and connectivity solutions," Pialis said. The transaction, expected to complete during the first calendar quarter of 2026, is conditional on the approval of Alphawave shareholders and the deal being given the nod by the relevant regulatory authorities in the US, Germany, South Korea, and Canada, as well as foreign direct investment approval from the UK government. It is unlikely the latter will prove to be a problem, despite growing concern about local firms being snapped up by foreign concerns. A report last year warned of the risks to the UK posed by "significant dependencies" on US suppliers and investors, and of creeping Chinese investment and ownership of British tech startups. Commenting on the news, financial analyst biz Jefferies said it does not expect any regulatory obstacles, as Alphawave has now disposed of its stake in a Chinese joint venture, WiseWave. "We had upgraded Alphawave to a Buy on April 3, when Qualcomm first confirmed that it is considering making an offer, as we believed that an eventual deal was likely. We expect this deal with Qualcomm to conclude at the bid price, in the timescale specified," Jefferies stated. Under the terms of the agreement, each Alphawave shareholder will be entitled to receive $2.48 for each share, which the company claims represents a 96 percent premium over the price of 94 pence the shares were valued at prior to any talk of a Qualcomm takeover. ®

Qualcomm bypasses logic gate with $2 bln UK deal

LONDON, June 9 (Reuters Breakingviews) - Artificial intelligence is so fast-moving and potentially all-encompassing that it makes sense for technology giants to pay up just to stay relevant. Look at all the money Microsoft (MSFT.O), opens new tab and Amazon.com (AMZN.O), opens new tab have poured into large language model developers OpenAI and Anthropic. That helps to explain why $162 billion semiconductor behemoth Qualcomm (QCOM.O), opens new tabagreed, opens new tab to buy $2.4 billion UK-based Alphawave (AWE.L), opens new tab on Monday. Overpaying to have a chance at cracking the massive AI data centre market is worthwhile for CEO Cristiano Amon. The deal has been a while in the making. Reuters reported in April that $140 billion chip architecture licenser Arm had considered buying Alphawave, which has a range of intellectual property related to semiconductors, with the aim of developing AI processors. That deal didn't happen, but Qualcomm's now has. The two sides agreed a price that implies a 96% premium to Alphawave's March 31 undisturbed level. Amon is giving the target's investors the option of receiving cash, shares or a special new security that will eventually turn into Qualcomm stock. The latter consideration seems designed to allow Alphawave's founders, who own a special type of share, to participate on the same economic terms as everyone else. On the surface, the price looks punchy. The offered enterprise value is $2.4 billion, according to a joint statement. With analysts pencilling in just $46 million of EBITDA this year for Alphawave, based on estimates gathered by LSEG, the implied multiple exceeds 50, compared with about 35 on average for peers Marvell Technology (MRVL.O), opens new tab, Credo Technology (CRDO.O), opens new tab, InterDigital (IDCC.O), opens new tab and Astera Labs (ALAB.O), opens new tab. Still, Amon isn't buying Alphawave for near-term earnings. The deal gives Qualcomm a shot at growing into the massive data-centre market, which is all the more important because the company needs to diversify away from smartphones. Key customer Apple is seeking to reduce its reliance on Qualcomm kit for iPhones. The market for AI data centre central processing units - or CPUs, which are like the brain of a computing system - is growing at a handy 10% compound annual rate, according to figures cited by JPMorgan analysts. Marvell, Broadcom (AVGO.O), opens new tab and others are already making moves and laying claim to turf that Qualcomm might like to own. Alphawave's high-speed intellectual property helps connect chips and move data around quickly, which could boost Amon's product offering as he seeks to build on the recent success of signing up a major Saudi Arabian data-centre customer. The good news is that this is a manageable bet relative to Qualcomm's size. The outlay is equivalent to less than one quarter's free cash flow, according to forecasts gathered by Visible Alpha. Given that, and the chance to unlock the next leg of growth, Amon arguably can't afford not to try. Follow Karen Kwok on LinkedIn, opens new tab and X, opens new tab. Context NewsU.S. chipmaker Qualcomm on June 9 said it had agreed to acquire British semiconductor company Alphawave for about $2.4 billion.Alphawave shareholders have the option of receiving $2.48 per share in cash, a nearly 96% premium to the price on March 31, which was immediately before Qualcomm disclosed its interest in the company.The U.S. bidder has also offered two alternative offers with an equivalent paper value. The first comprises new Qualcomm shares and the second comprises new "exchangeable securities". Founders Tony Pialis, Rajeevan Mahadevan and Jonathan Rogers will take the second alternative offer.Shares in Alphawave rose 24% to 186 pence as of 0953 GMT on June 9. Our Standards: The Thomson Reuters Trust Principles., opens new tab Suggested Topics:Transactional Opinions expressed are those of the author. They do not reflect the views of Reuters News, which, under the Trust Principles, is committed to integrity, independence, and freedom from bias. Karen Kwok Thomson Reuters Karen is a columnist focusing on global technology and venture capital sectors, writing stories about artificial intelligence, fintech, and semiconductor companies. She also covers deals in the Middle East region and global metal mining sector. Prior to Breakingviews, she was a European gas and power reporter at S&P Global Platts in London and covered funds and equities at Morningstar UK. Karen also briefly worked at China Daily Europe and Bloomberg. Born and raised in Hong Kong, she is fluent in Mandarin and Cantonese.

US chipmaker Qualcomm agrees to buy UK's Alphawave in $2.4bn deal

US semiconductor group Qualcomm has agreed a $2.4bn deal to buy chip designer Alphawave, marking the latest tech company departure from the London market. The companies' boards said Qualcomm's cash offer represented a price of 183p per Alphawave share, a 96 per cent premium to the closing price on March 31, the last trading day before Qualcomm announced its bid. They said the deal valued Alphawave at $2.4bn, less than half the valuation at which it went public just over four years ago. Alphawave's shares jumped 22 per cent in early trading on Monday to 182p. The deal will advance Qualcomm's ambitions in artificial intelligence by expanding its intellectual property portfolio in data centre and 5G networking, at a time when big tech companies are spending hundreds of billions of dollars on AI infrastructure. Qualcomm's chief executive Cristiano Amon said the two companies "share the goal of building advanced technology solutions and enabling next-level connected computing performance across a wide array of high growth areas, including data centre infrastructure". Alphawave said its directors would unanimously recommend that shareholders vote in favour of the deal. Chief executive Tony Pialis said it would leave the UK company "well-positioned to expand our product offerings, reach a broader customer base and enhance our technological capabilities". The deal is expected to complete during the first calendar quarter of 2026. Alphawave shareholders can choose to accept the offer in cash or Qualcomm stock. Alphawave, which licenses chip designs for high-speed connectivity, was founded in Canada and listed in London in 2021, the same year as food delivery group Deliveroo and cyber security company Darktrace. When it went public in May 2021, Toronto-based Alphawave sold £856mn worth of shares at 410p to value the group at £3.1bn. Qualcomm's offer is for less than half that figure at 183p per share. By the time Qualcomm completes its takeover, all three companies are likely to have delisted, after Deliveroo agreed to sell to US rival DoorDash this year and Darktrace was bought by private equity group Thoma Bravo last year for $5.3bn. Alphawave, which was heavily shorted before Qualcomm's interest was revealed, said in April that it was unable to provide guidance for the year due to uncertainty over US President Donald Trump's tariffs and warned that the "timing of customer programmes is currently uncertain". As well as data centres, its technology is used in 5G infrastructure and autonomous vehicles. Qualcomm, which generates most of its revenue from mobile chips and related royalties, reported strong growth in April for the first quarter of the year and said it did not expect a significant impact from tariffs. The company in March took a hit when Apple launched its first iPhone containing its own in-house modem, replacing a part that Qualcomm had historically supplied.

UK chip designer Alphawave bought by US rival Qualcomm for $2.4bn

Takeover of the British-listed company is the latest blow to the London Stock Exchange British chip designer Alphawave has agreed to a $2.4bn (£1.8bn) takeover by its US rival Qualcomm, the latest loss to the London Stock Exchange as it struggles to hang on to large technology companies. Alphawave, which is one of the few semiconductor companies listed in the UK, received an offer worth 183p a share and on Monday its board recommended the deal to shareholders after months of talks. The deal, once it receives shareholder approval, is expected to complete during the first three months of 2026, valuing Alphawave at $2.4bn. Alphawave designs and licenses high-speed connectivity technology that can be applied in datacentres and AI applications, key areas for growth in the sector. It is the latest in a string of high-profile technology companies that listed in London in 2021 but will leave the market due to either a takeover by a bigger US rival or have switched their listing to New York in search for better liquidity and higher valuations. While US markets have been dominated by tech players - including the "Magnificent Seven" group of companies - in recent years, the UK boasts just a handful of large listed companies in the sector. Last week the online payments company Wise told investors that it was planning to move its main share listing to the US. Deliveroo, the food delivery app, agreed to a £2.9bn takeover by its US rival DoorDash in May. Last year Darktrace, the Cambridge-based cybersecurity and artificial intelligence company, agreed to a $5.3bn takeover by the US private equity business Thoma Bravo. Companies in other sectors are also increasingly turning away from London. Last year the construction equipment rental company Ashtead announced it would move its primary listing to the US, following companies such as the gambling group Flutter Entertainment and the building materials provider CRH. Earlier this month the drugmaker Indivior said it planned to cancel the secondary listing it had retained in London after switching its main stock listing to the US last year, and the metal investment company Cobalt Holdings scrapped its move to list in London, which was expected to have raised about $230m. Alphawave listed in 2021 at 410p a share, but it has mostly traded well below this level since its IPO. The chief executive of Alphawave, Tony Pialis, said the takeover represented an opportunity to "expand our product offerings, reach a broader customer base, and enhance our technological capabilities". Qualcomm initially told investors that it was considering making an offer in April. Since then the companies have remained in talks. Cristiano Amon, the chief executive of San-Diego based Qualcomm, said Alphawave had developed "leading high-speed wired connectivity and compute technologies" that were complementary to his company's power-efficient central processing unit and neural processing unit cores. "The combined teams share the goal of building advanced technology solutions and enabling next-level connected computing performance across a wide array of high growth areas, including datacentre infrastructure," he said. Under the terms of the deal, Alphawave shareholders can also opt to exchange their stock for 0.01662 of a new share in Qualcomm.

British tech champion snapped up by US rival for £1.8bn

A semiconductor specialist is set to become the latest British company to quit the London stock market after agreeing to a $2.4bn (£1.8bn) takeover by an American rival. Alphawave IP Group said on Monday it was recommending shareholders to vote for a sale to US chip giant Qualcomm. The deal would mean the company, which only floated on the London Stock Exchange four years ago, would cease to be listed. It is a fresh blow to the City just days after Wise, the British financial technology champion, announced it was moving its main listing to New York. The timing of both moves is embarrassing for the City, coming as the capital hosts the annual London Tech Week conference with Baroness Gustafsson, the investment minister, and Peter Kyle, the Technology Secretary, both due to speak. Qualcomm said it was buying Alphawave to aid its expansion into data centres, which are becoming increasingly important in the race to develop artificial intelligence (AI) software. Alphawave is a specialist in technologies that "drive faster, more reliable data transfer with higher performance and lower power consumption", a joint statement by the companies said. This means its products "form a part of the core infrastructure enabling next-generation services in a wide array of high growth applications, including data centres, AI, data networking and data storage". Silicon Valley giants such as OpenAI, Google and Amazon are racing to acquire more data centre capacity to help train their AI programmes. Tony Pialis, president and chief executive of Alphawave, said: "Qualcomm's acquisition of Alphawave represents a significant milestone for us and an opportunity for our business to join forces with a respected industry leader and drive value to our customers. "By combining our resources and expertise, we will be well-positioned to expand our product offerings, reach a broader customer base, and enhance our technological capabilities. "Together, we will unlock new opportunities for growth, drive innovation, and create a leading player in AI compute and connectivity solutions. "For our shareholders, the Alphawave board is pleased that Qualcomm's offer provides an opportunity to realise compelling value for their shares." Cristiano Amon, president and chief executive of Qualcomm, added: "Qualcomm's advanced custom processors are a natural fit for data centre workloads. "The combined teams share the goal of building advanced technology solutions and enabling next-level connected computing performance across a wide array of high growth areas, including data centre infrastructure."

Chip designer Alphawave sees stock soar on Qualcomm takeover agreement

The acquisition of the UK's Alphawave by a US firm marks the latest loss for the London Stock Exchange. Shares in chip designer Alphawave rose sharply on Monday after the British-Canadian firm announced that it would be acquired by US rival Qualcomm for around $2.4bn (€2.1bn) in cash. As of around 9.45am London time, Alphawave's stock had risen around 23% in daily trading on the LSE. Qualcomm's offer values each share at 183p, a 96% premium on the closing price seen on 31 March, the final day before Qualcomm and Alphawave announced they were holding discussions. The $2.4bn valuation is still half of the total worth attributed to Alphawave when it launched an IPO in 2021. At its stock market debut, Alphawave shares were worth 410p each and the group was valued at £3.1bn (€2.7bn), although the firm has generally traded well below this level since its IPO. The deal is expected to close in the first three months of 2026, subject to shareholder and regulatory approval. Alphawave designs semiconductor technology for data centres and AI applications, thus providing Qualcomm with an opportunity to diversify away from smartphone components. "Qualcomm's acquisition of Alphawave Semi represents a significant milestone for us and an opportunity for our business to join forces with a respected industry leader and drive value to our customers," said Tony Pialis, CEO of Alphawave Semi. "By combining our resources and expertise, we will be well-positioned to expand our product offerings, reach a broader customer base, and enhance our technological capabilities," he added. Cristiano Amon, CEO of Qualcomm, commented on the deal: "The combined teams share the goal of building advanced technology solutions and enabling next-level connected computing performance across a wide array of high growth areas, including data center infrastructure." Alphawave said its directors would unanimously advise shareholders to vote in favour of the takeover. For the deal to go ahead, it would require a green light from investors representing 75% of shares. The takeover raises concerns about the attractiveness of listing in the UK, particularly after other high-profile departures from the LSE. Food-delivery service Deliveroo and cybersecurity and AI firm Darktrace have both agreed to be acquired by US firms. The fintech Wise also announced last week that it would be moving its primary listing to the US.

Qualcomm acquires chip designer Alphawave for $2.4B - SiliconANGLE

Qualcomm Inc. is acquiring Alphawave IP Group plc, a U.K.-based provider of technology for linking together chips, in a $2.4 billion deal. The companies announced the transaction today. It doesn't come as a surprise: Qualcomm first disclosed plans to make a bid for Alphawave in early April. Its offer amounts to £1.83 per share, a 98% premium to the British chip designer's last unaffected trading price. Qualcomm stated that the acquisition will support its efforts to grow its share of the data center chip market. The company didn't go into detail, stating only that Alphawave's technology will "complement Qualcomm's next gen custom Qualcomm Oryon CPU." That hints the chipmaker may be planning to launch a data center version of its Oryon central processing unit series, which is currently only available for laptops. Qualcomm announced plans to launch data center CPUs last month. At the time, the company stated that the chips will be geared towards artificial intelligence clusters powered by Nvidia Corp. silicon. Besides the Oryon CPU series, Qualcomm also described Alphawave technology as complementary to its Hexagon product line. Hexagon is a family of NPUs, or neural processing units, optimized to run AI models. Qualcomm doesn't ship them on their own but rather as part of systems-on-chip for smartphones, laptops and mixed reality headsets. A system-on-chip is a processor that includes multiple compute modules. Alphawave designs interconnects that can be used to link together multiple compute modules into a single SoC. One of its interconnects, AresCORE, is geared towards the data center chip market where Qualcomm hopes to grow its presence through the acquisition. AresCORE can move data between a SoC's modules at a rate of up to 64 gigabits per second per millimeter of shoreline. A chip's shoreline is the surface area of its sides. Alphawave offers AresCORE alongside a number of related technologies. One of them is GammaCORE, a chip for coordinating the flow of data across the interconnect that links together a SoC's modules. The company also offers SerDes modules. Those are components that turn multiple data streams into a single data stream, which makes it easier to move information between chiplets. One of the use cases to which Alphawave's technology can be applied is powering co-packaged optics, or CPO, devices. CPO is an emerging approach to moving information between data center chips. Instead of encoding data into electrical signals, CPO hardware transmits traffic as light, which can be up to several times faster. "Qualcomm's advanced custom processors are a natural fit for data center workloads," said Qualcomm Chief Executive Officer Cristiano Amon. "The combined teams share the goal of building advanced technology solutions and enabling next-level connected computing performance across a wide array of high growth areas, including data center infrastructure." Qualcomm expects to complete the acquisition in the first quarter of 2026. Alphawave investors with about half the company's shares have already approved the transaction.

US chipmaker Qualcomm agrees takeover of UK's Alphawave

The deal was announced shortly before prime minister Sir Keir Starmer kicked off the annual London Tech Week, outlining the importance of tech and AI to the UK's prospects. US chipmaker Qualcomm has agreed a $2.4bn (£1.8bn) takeover of Alphawave - a deal set to result in another UK tech firm falling into foreign hands. Shareholders in the UK firm, which designs semiconductors attractive in artificial intelligence (AI) development, will receive 183p per share under the terms. The price represents a 95% premium to that seen before Qualcomm disclosed its interest. Money latest: Why you probably should not book a hotel on your laptop News of the agreement was announced as the annual London Tech Week got underway in the capital, with prime minister Sir Keir Starmer speaking of tech's importance to the UK's prospects. Softbank-owned chipmaker ARM - previously a London-listed firm before it was snapped up under a £32bn deal in 2016 - had also been chasing Alphawave but has since walked away. The UK company's "serdes" technology is said to be the main prize within the deal. It underpins the speed at which data is processed by chips - crucial for AI development. Qualcomm said the deal would bolster its enhancement of AI. Its chips have been widely used by Apple and Samsung though its interest in iPhones has recently been curtailed through the development of Apple's own chip components. Alphawave said it considered the terms of the cash offer to be fair and reasonable and that it intended to unanimously recommend it to its shareholders. In his speech marking the start of London Tech Week, the PM said tech and AI were "absolutely central" to the UK. Cheap valuations and a weak pound have made UK firms attractive to US investors in recent years while a number of UK listed firms have shifted primary listings to the United States in a bid to attract greater investment. The government has moved to make UK listings more attractive as part of its growth agenda. The prime minister launched a new free government partnership with industry, including Nvidia, Amazon, Google and BT, to train 7.5 million UK workers in essential skills to use AI by 2030. A separate "TechFirst" initiative will roll out AI training to every secondary school over three years. Sir Keir told the audience in central London: "AI and tech makes us more human, which sounds an odd thing to say, but it's true. "We need to say it because... some people out there are sceptical. "They do worry about AI taking their job." He added: "For people listening to us, they worry about will it make their lives more complicated? Even for businesses who get it, the pace of change can feel relentless." He later went on: "I believe the way that we work through this together is critical."

Qualcomm Acquires Alphawave Semi in $2.4B Deal Amid Data Center Expansion

Qualcomm said the deal "aims to further accelerate, and provide key assets for, Qualcomm's expansion into data centers." Qualcomm (QCOM) on Monday announced a deal to acquire British firm Alphawave Semi as the chipmaker looks to expand its push into the world of data centers. Alphawave makes "high-speed wired connectivity and compute technologies delivering IP, custom silicon, connectivity products and chiplets," per the Monday press release. The British company's tech is used in data centers, which are increasingly being used to train artificial intelligence products. The deal values Alphawave at about $2.4 billion, and the announcement sent Alphawave shares, listed in London, up nearly 25% to their highest point since March 2024. The move is a smaller jump than the company received back in April, when Qualcomm was reported to be interested in acquiring it and shares surged 46% in one day. Qualcomm shares were up about 1% in premarket trading. Qualcomm said the deal "aims to further accelerate, and provide key assets for, Qualcomm's expansion into data centers," and said it is expected to close in the first quarter of 2026. In its latest quarterly report on the last day of April, Qualcomm topped fiscal second quarter estimates as its chip business for smartphones grew 12% year-over-year, but its revenue forecast for the current quarter came in just below analysts' projections.

Qualcomm strengthens AI portfolio with $2.4 billion Alphawave deal

Alphawave, which designs and licenses semiconductor technology for data centers, networking and storage, had garnered takeover interest from Qualcomm and SoftBank-owned chip tech provider Arm in early April for its 'serdes' technology. The technology underpins the speed at which data is processed by chips - crucial for AI development - and serves as the foundation for Broadcom's and Marvell Technology's multibillion-dollar bespoke chip businesses.US chipmaker Qualcomm on Monday agreed to acquire British semiconductor company Alphawave for about $2.4 billion as part of efforts to strengthen its artificial intelligence technology. Alphawave shareholders will receive 183 pence per share, a nearly 96% premium to the price immediately before Qualcomm disclosed its interest in the company. The shares jumped 22% in early London trade to just below the offer price. US-based firms have been snapping up British assets, taking advantage of a market that is plagued by comparatively weaker valuations and stunted growth. Alphawave, which designs and licenses semiconductor technology for data centers, networking and storage, had garnered takeover interest from Qualcomm and SoftBank-owned chip tech provider Arm in early April for its 'serdes' technology. The technology underpins the speed at which data is processed by chips - crucial for AI development - and serves as the foundation for Broadcom's and Marvell Technology's multibillion-dollar bespoke chip businesses. Arm walked away after initial discussions with Alphawave, Reuters exclusively reported in April citing sources. Qualcomm also tabled two alternative all-share offers to Alphawave's shareholders, after receiving multiple extensions from the UK's takeover panel to table a firm offer. The British company said it considers the terms of the cash offer to be fair and reasonable and intends to unanimously recommend it to its shareholders. Alphawave also completed the disposal of its stake in WiseWave, its joint venture with Chinese investment firm Wise Road Capital, to existing state shareholders on Monday.

Qualcomm Bets $2.4 Billion On Alphawave To Power AI Data Centers - Qualcomm (NASDAQ:QCOM)

Qualcomm Inc QCOM announced on Monday that it has agreed to acquire semiconductor company Alphawave IP Group Plc for approximately $2.4 billion in cash. The purchase price implies 183 pence per share for Alphawave, implying close to a 96% premium to the price immediately before Qualcomm disclosed its interest in the company. The acquisition of Alphawave Semi aims to further accelerate, and provide key assets for, Qualcomm's expansion into data centers. Qualcomm Oryon CPU and Hexagon NPU processors are well positioned to meet the growing demand for high-performance, low-power computing, which is being driven by a rapid increase in AI inferencing and the transition to custom CPUs in data centers, the company said in a press release. Also Read: Taiwan Semiconductor, Qualcomm, MediaTek Team Up To Power Next-Gen Mobile And AI Chips The deal, subject to regulatory and shareholder approval, will likely close in the first quarter of 2026. Qualcomm held $13.85 billion in cash and equivalents as of March 31, 2025. In May, JP Morgan analyst Samik Chatterjee said Alphawave has higher strategic importance for Qualcomm, which has recently more explicitly outlined its intent to pursue the data center market as another pillar of growth and diversification. The analyst said Alphawave's acquisition and capabilities regarding data center connectivity IP would complement its earlier acquisition of Nuvia and its capabilities for designing data center CPUs and AI inference chips based on custom ARM cores. Chatterjee expects Alphawave's breadth of capabilities to add to Qualcomm's portfolio, positioning the company to benefit from tailwinds related to strong growth in Custom silicon and ASIC adoption within AI infrastructure and development in content about connectivity products within AI data centers. He added that Alphawave's immediate contribution to Qualcomm's financial performance is unlikely material, but the company expects synergies from its entry into the broader data center TAM. Price Action: QCOM stock is trading higher by 0.19% to $149.52 premarket at last check Monday. Read Next: Emergence Of UALink As A Viable Alternative Could Challenge Nvidia's Dominance, Analyst Asserts Photo via Shutterstock QCOMQualcomm Inc$150.290.70%Stock Score Locked: Want to See it? Benzinga Rankings give you vital metrics on any stock - anytime. Reveal Full ScoreEdge RankingsMomentum24.40Growth78.12Quality84.38Value50.74Price TrendShortMediumLongOverviewMarket News and Data brought to you by Benzinga APIs

Qualcomm: $2.4B Alphawave Semi Buy To Boost Data Center Push

The deal to acquire London-based chip designer Alphawave Semi will 'accelerate' Qualcomm's expansion into the data center market, particularly for AI inferencing, the company says, after confirming last month its plan to design and sell server CPUs again. Qualcomm Monday said its $2.4 billion deal to acquire chip designer Alphawave Semi will "accelerate" the company's expansion into the data center market, particularly for AI inferencing. The San Diego-based chip designer unveiled the deal Monday, saying that Alphawave Semi's high-speed wired connectivity and compute technologies will complement its next-generation Oryon CPU and Hexagon NPU processors. [Related: 9 AMD Acquisitions Fueling Its AI Rivalry With Nvidia] The deal is expected to close in the first quarter of 2026, subject to regulatory approvals, the approval by Alphawave Semi's shareholders and other conditions. While Qualcomm has been selling its Cloud AI 100 processors for AI inference workloads in data centers for years, the company confirmed last month that it has wider ambitions in the market with a plan to sell server CPUs. Cristiano Amon, Qualcomm's president and CEO, said the company's "advanced custom processors are a natural fit for data centers" and indicated that the acquisition of the London-based company will also benefit it in other areas. "The combined teams share the goal of building advanced technology solutions and enabling next-level connected computing performance across a wide array of high-growth areas, including data center infrastructure," he said in a statement. Tony Pialis, president and CEO of Alphawave Semi, said the combination of the two companies will "create a leading player in AI compute and connectivity solutions." "By combining our resources and expertise, we will be well-positioned to expand our product offerings, reach a broader customer base, and enhance our technological capabilities," he said in a statement. When Amon announced in May that Qualcomm plans to design and sell server CPUs again -- after a failed effort several years ago -- he said that the move includes a partnership with Nvidia that will allow the two companies to integrate their chips into new AI computing systems. This integration will be made possible by a new silicon offering from Nvidia called NVLink Fusion that will let Qualcomm integrate custom CPUs with Nvidia's GPUs to "build high-performance Nvidia AI factories." "We have some very interesting IP on CPU, especially a CPU change for the age of AI, and it's really an AI-centric data center. You saw the great announcement from Nvidia today," Amon said at Computex 2025 last month. "[The] CPU becomes very important, but also [in terms of] how we think about clusters of inference that is about high performance and very low power." At the time, Amon said Qualcomm decided to re-enter the data center market for a similar reason it decided to make a revitalized push in the PC market with its Snapdragon X Series chips, which debuted in PCs with Microsoft's Copilot+ PC branding last year. "PC was [an] already established market with established players, but if we had something unique and disruptive, there's room for Qualcomm," he said.

Qualcomm to acquire Alphawave Semi in a $2.4 billion deal

Qualcomm has announced that it has entered into an agreement to acquire Alphawave IP Group plc (Alphawave Semi) through its indirect wholly-owned subsidiary, Aqua Acquisition Sub LLC. The recommended acquisition is valued at an implied enterprise value of approximately US$2.4 billion. This acquisition is positioned to support Qualcomm's strategic expansion into the data center sector. The company's Qualcomm Oryon CPU and Hexagon NPU processors are designed to address the increasing demand for high-performance, low-power computing, driven by the growth of AI inferencing and the ongoing shift towards custom CPUs in data center environments. Alphawave Semi is recognized for its work in high-speed wired connectivity and compute technologies. The company delivers intellectual property (IP), custom silicon, connectivity products, and chiplets that contribute to faster, more reliable data transfer with enhanced performance and reduced power consumption. Alphawave Semi's offerings form part of the foundational infrastructure for next-generation services across various high-growth applications, including data centers, artificial intelligence (AI), data networking, and data storage. The completion of this acquisition is anticipated during the first calendar quarter of 2026, as per regulatory approvals. Commenting on the deal, Cristiano Amon, president and CEO of Qualcomm Incorporated, said: Under Tony's leadership, Alphawave Semi has developed leading high-speed wired connectivity and compute technologies that are complementary to our power-efficient CPU and NPU cores. Qualcomm's advanced custom processors are a natural fit for data center workloads. The combined teams share the goal of building advanced technology solutions and enabling next-level connected computing performance across a wide array of high growth areas, including data center infrastructure. Tony Pialis, president and CEO of Alphawave Semi, said:

Qualcomm: agreement to acquire Alphawave Semi

Qualcomm has announced that it has entered into an agreement to acquire UK-based Alphawave Semi for an implied enterprise value of approximately $2.4bn, with Alphawave's shares jumping nearly 24% on Monday in London. The US group emphasizes that Alphawave's high-speed wired connectivity and computing technologiesAlphawave Semi's high-speed wired connectivity and computing technologies complement its own next-generation custom processors, Qualcomm Oryon CPU and Qualcomm Hexagon NPU. The growth of AI inference is driving demand for Qualcomm's high-performance, energy-efficient computing solutions, and this acquisition provides key assets for our expansion into data centers, it added. The acquisition of Alphawave Semi is expected to close in Q1 2026, subject to customary closing conditions, including certain regulatory approvals. Copyright (c) 2025 CercleFinance.com. All rights reserved.

Qualcomm to Acquire Alphawave Semi

Qualcomm Incorporated (NASDAQ: QCOM) today announced that it has reached an agreement with Alphawave IP Group plc (AWE.L) ("Alphawave Semi") regarding the terms and conditions of a recommended acquisition by Aqua Acquisition Sub LLC, an indirect wholly-owned subsidiary of Qualcomm Incorporated, for the entire issued and to be issued ordinary share capital of Alphawave Semi at an implied enterprise value of approximately US$2.4 billion. This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20250609911615/en/ The acquisition of Alphawave Semi aims to further accelerate, and provide key assets for, Qualcomm's expansion into data centers. Qualcomm Oryon CPU and Hexagon NPU processors are well positioned to meet the growing demand for high-performance, low-power computing, which is being driven by a rapid increase in AI inferencing and the transition to custom CPUs in data centers. Alphawave Semi is a global leader in high-speed wired connectivity and compute technologies delivering IP, custom silicon, connectivity products and chiplets that drive faster, more reliable data transfer with higher performance and lower power consumption. Alphawave Semi's products form a part of the core infrastructure enabling next generation services in a wide array of high growth applications, including data centers, AI, data networking and data storage. "Under Tony's leadership Alphawave Semi has developed leading high-speed wired connectivity and compute technologies that are complementary to our power-efficient CPU and NPU cores," said Cristiano Amon, president and CEO of Qualcomm Incorporated. "Qualcomm's advanced custom processors are a natural fit for data center workloads. The combined teams share the goal of building advanced technology solutions and enabling next-level connected computing performance across a wide array of high growth areas, including data center infrastructure." "Qualcomm's acquisition of Alphawave Semi represents a significant milestone for us and an opportunity for our business to join forces with a respected industry leader and drive value to our customers," said Tony Pialis, president and CEO of Alphawave Semi. "By combining our resources and expertise, we will be well-positioned to expand our product offerings, reach a broader customer base, and enhance our technological capabilities. Together, we will unlock new opportunities for growth, drive innovation, and create a leading player in AI compute and connectivity solutions." This acquisition of Alphawave Semi is expected to complete during the first calendar quarter of 2026, subject to the satisfaction or waiver (where applicable) of certain conditions as set forth in the announcement released today in accordance with Rule 2.7 of the UK Takeover Code, including (amongst other things) certain regulatory approvals, the approval from the requisite majority of Alphawave Semi's shareholders and sanction by the High Court in the UK. The full announcement, issued in accordance with Rule 2.7 of the UK Takeover Code, can be found on our website at: https://investor.qualcomm.com/update-details/update-details-offer. About Qualcomm Qualcomm relentlessly innovates to deliver intelligent computing everywhere, helping the world tackle some of its most important challenges. Building on our 40 years of technology leadership in creating era-defining breakthroughs, we deliver a broad portfolio of solutions built with our leading-edge AI, high-performance, low-power computing, and connectivity. Our Snapdragon® platforms power extraordinary consumer experiences, and our Qualcomm Dragonwing™ products empower businesses and industries to scale to new heights. Together with our ecosystem partners, we enable next-generation digital transformation to enrich lives, improve businesses, and advance societies. At Qualcomm, we are engineering human progress. Qualcomm Incorporated includes our licensing business, QTL, and the vast majority of our patent portfolio. Qualcomm Technologies, Inc., a subsidiary of Qualcomm Incorporated, operates, along with its subsidiaries, substantially all of our engineering and research and development functions and substantially all of our products and services businesses, including our QCT semiconductor business. Snapdragon and Qualcomm branded products are products of Qualcomm Technologies, Inc. and/or its subsidiaries. Qualcomm patents are licensed by Qualcomm Incorporated. Qualcomm, Snapdragon, Qualcomm Dragonwing, Qualcomm Oryon, and Hexagon are trademarks or registered trademarks of Qualcomm Incorporated.

Qualcomm to Buy Alphawave IP for $2.4 Billion -- Update

Qualcomm agreed to buy U.K.-listed semiconductor company Alphawave IP Group for about $2.4 billion as it seeks to boost its portfolio of technology used for artificial intelligence, data centers and data storage. The deal concludes two months of talks and will see the U.S. chip maker pay 183 pence a share for the company, a 96% premium to the company's closing price of 93.50 pence on March 31, the day before Qualcomm announced its interest. On April 1, San Diego-based Qualcomm said it was considering making an offer to buy Alphawave IP Group without disclosing any financial details. Shareholders also have the option of swapping their holding for new Qualcomm shares instead of cash. Alphawave shares jumped 23% to just above the offer price in early trade Monday. "The combined teams share the goal of building advanced technology solutions and enabling next-level connected computing performance across a wide array of high growth areas, including data-centre infrastructure," Qualcomm Chief Executive Cristiano Amon said. Alphawave specializes in designing high-speed connectivity technology that enables data to travel faster using lower power. It serves customers in high-growth markets such as data centers, artificial intelligence, 5G wireless infrastructure, data networking, autonomous vehicles and solid-state storage. The company listed in London in 2021 at 410 pence a share but has mostly traded significantly below that level since the initial public offering. The U.K. company's board intends to recommend shareholders accept the deal, which is expected to be completed during the first quarter of 2026. Write to Ian Walker at ian.walker@wsj.com and Dominic Chopping at dominic.chopping@wsj.com

Qualcomm strengthens AI portfolio with $2.4 billion Alphawave deal

(Reuters) -U.S. chipmaker Qualcomm on Monday agreed to acquire British semiconductor company Alphawave for about $2.4 billion as part of efforts to strengthen its artificial intelligence technology. Alphawave shareholders will receive 183 pence per share, a nearly 96% premium to the price immediately before Qualcomm disclosed its interest in the company. The shares jumped 22% in early London trade to just below the offer price. U.S.-based firms have been snapping up British assets, taking advantage of a market that is plagued by comparatively weaker valuations and stunted growth. Alphawave, which designs and licenses semiconductor technology for data centers, networking and storage, had garnered takeover interest from Qualcomm and SoftBank-owned chip tech provider Arm in early April for its 'serdes' technology. The technology underpins the speed at which data is processed by chips - crucial for AI development - and serves as the foundation for Broadcom's and Marvell Technology's multibillion-dollar bespoke chip businesses. Arm walked away after initial discussions with Alphawave, Reuters exclusively reported in April citing sources. Qualcomm also tabled two alternative all-share offers to Alphawave's shareholders, after receiving multiple extensions from the UK's takeover panel to table a firm offer. The British company said it considers the terms of the cash offer to be fair and reasonable and intends to unanimously recommend it to its shareholders. Alphawave also completed the disposal of its stake in WiseWave, its joint venture with Chinese investment firm Wise Road Capital, to existing state shareholders on Monday. (Reporting by Yamini Kalia in Bengaluru; Editing by Nivedita Bhattacharjee, Kirsten Donovan)