Let's block ads! (Why?)

Read More Intel CEO explains why the company is exiting the smartphone modem business - Yahoo Finance : https://ift.tt/2SDRpUP

Chip-related stocks climbed to record highs Wednesday following strong earnings from Texas Instruments Inc. and Teradyne Inc., and ahead of Intel Corp. earnings.

The PHLX Semiconductor Index SOX, +3.10%  rallied 2.8% to 1,617.59 in recent activity and was on track for its highest close since April 24 when it closed at 1,589.02, capping a run of six closing highs in a row. In comparison, the Dow Jones Industrial Average DJIA, -0.29%  was down 0.5%, the S&P 500 index SPX, +0.47%  was up 0.1%, and the tech-heavy Nasdaq Composite Index COMP, +0.85%  was up 0.4%.

Late Tuesday, Texas Instruments Inc. TXN, +7.44%  reported quarterly results that topped Wall Street forecasts and issued an outlook that was better than feared. Texas Instruments shares rallied 7.5% to $129.02 in recent activity, having touched an intraday high of $129.80, and were on their way to closing at a record high.

Evercore ISI analyst C.J. Muse, who raised his price target to $125 from $115, noted the stock was finding a catalyst in management comments that the company was three quarters into a cyclical downturn that usually lasts four to five quarters and strong free cash flow.

“That said, we believe valuations are going from frothy… to more than frothy,” Muse said, stating that he was still keeping his in-line rating on Texas Instruments.

Jefferies analyst Mark Lipacis, who has a buy rating and raised his price target to $170 from $137, said Texas Instruments results showed that inventory problems that have plagued the chip sector all year are showing signs of easing.

“We continue to sense investor caution on semiconductor stocks, which we believe is rooted in inventory and demand concerns, and exacerbated by US - China trade issues,” said Lipacis. “We don’t believe most investors are positioned for an end to the inventory correction, much less the inventory restock we expect will manifest in 2H19.”

Of the 34 analysts who cover Texas Instruments, 12 have buy or overweight ratings, 20 have hold ratings, and two have sell or underweight ratings, with an average target price of $88.80, according to FactSet data.

Teradyne Inc. TER, +20.48%  shares surged 20% to $57.63 in recent trading, after the electronic testing equipment maker’s quarterly results and outlook topped Wall Street estimates.

This all comes before Intel’s INTC, +2.26%  earnings report, which is scheduled for the after the close on Thursday. Intel shares were up 1.7%.

Read: Rumored Intel sale of smartphone modem business to Apple weighs on Qualcomm stock

Meanwhile, research firm Gartner on Tuesday forecast that revenue from global chip sales will drop 9.6% to $429 billion in 2019, worse than its previous forecast decline of 3.4%.

“The semiconductor market is being impacted by a number of factors,” said Ben Lee, senior principal research analyst at Gartner, in a statement. “A weaker pricing environment for memory and some other chips types combined with the U.S.-China trade dispute and lower growth in major applications, including smartphones, servers and PCs, is driving the global semiconductor market to its lowest growth since 2009.”

In May, International Data Corp. said chip sales are expected to suffer a sharp downturn in 2019, while IHS Markit recently said the sector is facing its worst downturn in a decade. Most recently, the Semiconductor Industry Association said that global chip sales declined for a fifth straight month in May.

Other strong chip stocks on Wednesday were Silicon Laboratories Inc. SLAB, +6.46%  , ON Semiconducotr Corp. ON, +6.34% MKS Instruments Inc. MKSI, +5.60%  , and Microchip Technology Inc. MCHP, +4.47% and Monolithic Power Systems Inc. MPWR, +4.51%  

Let's block ads! (Why?)

Read More Chip stocks head for record high after Texas Instruments earnings, ahead of Intel’s results - MarketWatch : https://ift.tt/2JQu5Ar

SANTA CLARA, Calif.--(BUSINESS WIRE)--

Join Intel for trainings, briefings and talks at Black Hat 2019 and DEF CON 27 in Las Vegas. Learn about how Intel, together with partners and customers, is building the trusted foundation for computing in a data-centric world.

BLACK HAT 2019

Where: Mandalay Bay, Las Vegas
When: Aug. 3-8, 2019

DEF CON 27

Where: Paris, Ballys, Flamingo and Planet Hollywood Hotels, Las Vegas
When: Aug. 8-11, 2019

Black Hat Trainings: Applied Hardware Attacks 1 — Embedded and IoT Systems Training and Applied Hardware Attacks 2 — Hardware Pentesting

Maggie Jaregui, Intel security researcher, will present a two-day training for newcomers to hardware with Joe FitzPatrick, Josh Datko and Thorsten Haas. The first training will focus on spending time hands-on with current off-the-shelf hardware. The class will introduce participants to common interfaces on embedded MIPS and ARM systems, and how to exploit physical access to grant software privilege. The second training will focus on putting new skills to the test to analyze how and why hardware hacks belong in scope of certain pen tests, and what that means for threat modeling and deliverables.

When: Saturday and Sunday, Aug. 3-4, 2019
The Applied Hardware Attacks trainings 1 and 2 are SOLD OUT.

Black Hat Briefing: Behind the Scenes of Intel Security and Manageability

Shai Hasarfaty, Intel principal security research engineer, and Yanai Moyal, Intel security researcher, will discuss Intel’s security engine, CSME (Converged Security and Manageability Engine) and its key security value to the platform. They will share how other firmware environments can achieve the same technology.

When: Wednesday, Aug. 7, 1:30-2:20 p.m. PDT
Where: Mandalay Bay, Islander EI Ballroom

Black Hat 2019 Registration: Link to register

DEF CON Talk at IoT Village organized by Independent Security Evaluators — Regulatory Trends in IoT Security and Impact on the Research Community

Amit Elazari, Intel director of global cybersecurity policy, presents an introduction into the variety and influx of legal and regulatory concepts and proposals shaping the future of IoT security. Her talk will focus specifically on proposed bills, IoT Security core capabilities, anti-hacking laws, and the standards efforts and new security laws taking effect in California and Oregon.

When: Friday, Aug. 9, 1:30-2:15 p.m. PDT
Where: IoT Village organized by Independent Security Evaluators, a security consulting and research firm
Registration: Cost for all four days is $300, cash at the door

About Intel

Intel (INTC), a leader in the semiconductor industry, is shaping the data-centric future with computing and communications technology that is the foundation of the world’s innovations. The company’s engineering expertise is helping address the world’s greatest challenges as well as helping secure, power and connect billions of devices and the infrastructure of the smart, connected world – from the cloud to the network to the edge and everything in between. Find more information about Intel at newsroom.intel.com and intel.com.

Intel and the Intel logo are trademarks of Intel Corporation in the United States and other countries.

View source version on businesswire.com: https://www.businesswire.com/news/home/20190724005666/en/

.bwalignc {text-align: center !important; list-style-position:inside !important;} ;}

Let's block ads! (Why?)

Read More Media Alert: Intel at Black Hat 2019 and DEF CON 27 - Yahoo Finance : https://ift.tt/2XXVYyW

Still all about the iPhone

Let's block ads! (Why?)

Read More Apple's pursuit of Intel's modem unit is all about 'doubling down' on 5G - CNBC : https://ift.tt/2Z770yl

• This is an excerpt from a story delivered exclusively to Business Insider Intelligence Connectivity & Tech subscribers.
• To receive the full story plus other insights each morning, click here.

Apple is reportedly closing in on a $1 billion deal to buy Intel's smartphone-modem chip business, according to The Wall Street Journal. The deal is expected to be completed as early as next week and would involve Intel offloading the staff and patents from its modem efforts to Apple.

AP

The news plays into Apple's broader strategy of developing as many components as possible in-house.

The deal with Intel would advance Apple in reaching its ultimate goal of fully controlling its production processes. Over the last decade, Apple has moved to take control of almost all of the silicon design for its key devices, with the main exception being modems.

Apple has been making progress toward developing its own modem in-house as of late, with release dates expected for 2025, but acquiring Intel's smartphone modem chip business would save Apple years of development work and expedite the process as a result.

Doing so is important because as Apple gains greater control over its production process, the company will be able to reduce its reliance on third parties like Qualcomm and better optimize the performance of its devices by controlling both the software and hardware.

If the purchase goes through, Apple would attain a defensive patent portfolio to provide protection against future challenges to 5G products.

Apple's interest in Intel's smartphone-modem chip business is likely being driven by the semiconductor company's extensive 5G-patent portfolio. As Apple moves to develop 5G modems in-house, ownership of Intel's 5G patents would be extremely valuable in helping to protect the firm from being targeted with a patent lawsuit like Verizon was in June: The US carrier had been asked for $1 billion in licensing fees by Huawei for infringing upon its patents.

Without protection, Apple could ultimately have to pay licensing fees to companies like Qualcomm, Nokia, or Huawei to avoid the risk of having to search for new ways to get the core technologies that support its business.

Interested in getting the full story? Here are two ways to get access:

1. Subscribe to a Premium pass to Business Insider Intelligence and gain immediate access to the Connectivity & Tech briefing, plus more than 250 other expertly researched reports. As an added bonus, you'll also gain access to all future reports and daily newsletters to ensure you stay ahead of the curve and benefit personally and professionally. >>Learn More Now
2. Current subscribers can read the full briefing here.

Let's block ads! (Why?)

Read More Apple in talks to purchase Intel's smartphone-modem chip business - Business Insider : https://ift.tt/2y6SsD5

Intel is due to report second-quarter earnings on Thursday evening after the market closes.

Here is a snapshot of Wall Street’s expectations and some recent history.

• Intel stock (INTC) has risen about 10% this year, underperforming the S&P 500 index, which has gained nearly 19%, and the Nasdaq Composite, which has rallied roughly 24%.

Let's block ads! (Why?)

Read More Intel Is Set to Report Earnings Tomorrow. Here’s What to Expect. - Barron's : https://ift.tt/32NrgY1

A new ten-core Intel Comet Lake development kit has appeared in the EEC database suggesting we’re getting a lot closer to a potential launch of a Ryzen-rivalling Intel processor than some might think. The suggestion has been that Comet Lake, the next step on Intel’s plus-ridden 14nm journey, wouldn’t arrive in our desktops until 2020 at the earliest. But with what looks like a hardware qualification kit in recent listings we could see a more mainstream Intel deca-core CPU this year.

That’s maybe not a huge surprise given Intel passim. The Core i9 9900K launched late last year as the vanguard of the Gen 9 processors, while we had to wait a while to see the full range launched later on. But with this ten-core chip – presumably the Core i9 10900K – going into qualification now that should mean Intel’s new top gaming processor is pretty much done and dusted.

The EEC listing references a Comet Lake-S 10 +2 processor, and the product code indicates that it is definitely, definitely a desktop CPU because of the DT prefix. The bracketed ‘Qual’ would point to this latest development kit featuring completed Comet Lake silicon for qualification with system integrators and motherboard manufacturers.

We saw a software development platform for the ten-core Comet Lake-S CPUs appear around six weeks ago, again via a Eurasian Economic Commision registration, which was listed as a ‘Beta’ kit.

This latest Comet Lake-S listing seems to feature finished silicon, and will be Intel’s great chip hope to combat all the processor positivity now surrounding AMD’s own multi-core CPUs. Intel’s very much playing catchup right now, with AMD having a 12-core Ryzen 9 3900X already in the market and a 16-core Ryzen 9 3950X on the way in September.

Quite what a likely $500 ten-core CPU will be able to deliver, on what is a known 14nm Skylake derivative architecture, is tough to tell. Intel is offering an IPC increase with its Sunny Cove cores, but they’re not due on the desktop for a good while yet. Maybe Intel will swallow the silicon bullet and start to drop its premium pricing model. After all, even though it will be the highest core-count processor Intel has created outside the HEDT game, a ten-core CPU is going to have a mighty tough time going up against a 16-core Ryzen.

But it looks like we won’t have long to wait to find out how tough, as we could be heading for an AMD Ryzen 9 3950X vs Intel Core i9 10900K head-to-head this autumn. Bring it on.

Join the conversation and comment on the new Comet Lake CPUs via this article’s Facebook and Twitter threads.

INFO

Let's block ads! (Why?)

Read More Finished Intel Comet Lake 10-core CPU samples are heading out for qualification - PCGamesN : https://ift.tt/2MaXYwH

Let's block ads! (Why?)

Read More Intel's 10nm mobile chips rival AMD's desktop CPUs in single-core benchmarks - The INQUIRER : https://ift.tt/32L9ox9

Intel's getting out of the 5G smartphone modem business, and Apple now may be getting in. The switcheroo could have big implications for future iPhones -- even if that means it's the iPhone 16 or 17.

Apple is close to buying Intel's smartphone modem business, The Wall Street Journal reported Monday. The deal, which would give it access to Intel's work on 5G technology, could be worth $1 billion and include patents and employees, according to the report. Apple's current iPhones -- the iPhone XS, XS Max and XR -- use Intel modems, while older iPhones use 4G chips from Qualcomm. 

Apple has been expanding in the components market as it seeks to own all of the hardware and software in its devices. By building its own chips, Apple is able to better control the features it releases, as well as manage the timeline for introducing new devices. Buying Intel's technology gives it a key piece of the puzzle it doesn't control -- the modem that taps into cellular networks. 

Apple also would gain vital patents to protect itself from other mobile companies like Huawei, which has sued rivals for patent infringement.

Importantly, getting access to Intel's 5G technology could help Apple jumpstart efforts to make chips that connect its phones to the new, super-fast 5G wireless network. Intel had problems making a 5G chip for Apple's iPhones, and it exited that business after Apple and Qualcomm reached a multi-year chip supply agreement in April. But it still owns important patents that could benefit Apple. While Intel's technology won't help launch a 5G iPhone this year, it could speed up Apple's in-house development efforts. 

"This would be a clear 'doubling down' on 5G, which remains at the centerpiece of the company's smartphone future with these chip assets giving Apple further control over its supply chain and core chip design," Wedbush analyst Daniel Ives noted. 

Apple and Intel declined to comment. 

Apple's chip efforts 

Over the past decade, Apple has increasingly heightened its focus on the components that make its devices run. The company designs its own application processors that act as the brains of its mobile devices, graphics chips, Bluetooth chips that quickly link its AirPods to its iPhones, and security chips that protect personal data and biometrics from hacking attempts. 

Late last year, Apple reached a deal to buy part of Dialog Semiconductor for $600 million, giving it access to power management chips that are important for making sure an iPhone charges correctly and doesn't consume too much energy. 

Apple also has been working on processors to replace Intel's chips in Mac computers as soon as 2020. Should this happen, the Mac computer line would have a similar processor strategy to the iPhone and iPad, which already use Apple-produced chips.

There are only two major components that Apple doesn't control in-house: memory and modems. There are multiple companies capable of selling Apple memory chips, including Samsung and Micron, but the field is more limited when it comes to modems. That's especially the case with 5G, where Qualcomm is essentially the only modem supplier right now.

Apple doesn't like to rely on one company for a key component, even though it's done so in the past. The first iPhones used modems from Germany-based Infineon. Intel acquired that business in 2011, but Apple solely used Qualcomm 3G and 4G chips from the iPhone 4S in 2011 to the iPhone 6S and 6S Plus in 2015. The following year, Apple started using Intel modems in some models of the iPhone 7 and 7 Plus, but it still used Qualcomm in versions for Verizon and Sprint until its most recent batch of iPhones. Because of litigation between Qualcomm and Apple, last year's iPhone only used Intel. 

Apple has been working on its own modems, but they reportedly won't be ready until about 2025. In the meantime, Apple still has to rely on Qualcomm.

Qualcomm, which Apple battled over licensing before reaching a settlement in April, is the world's biggest mobile chipmaker and the lone option today for 5G handsets aimed at the US. Globally, Qualcomm only has three chip rivals: Taiwan-based MediaTek, China-based Huawei and South Korea-based Samsung. Out of those three, only MediaTek sells chips in high volumes to third parties. Huawei and Samsung largely use their modems for their own phones. But MediaTek's modems are first aimed at Chinese handsets. 

As part of Apple and Qualcomm's legal settlement, Apple agreed to buy Qualcomm chips for "multiple" years. The two companies haven't said how long the contract will last. 

"In general we have been impressed over the years by [Apple's] homegrown semiconductor efforts," Bernstein analyst Stacy Rasgon noted. "In any event, it demonstrates (as is known) that [Apple] overall does not like to be single-sourced, and that even 'multi-year' supply agreements with them may have little or no terminal value."

Racing to 5G

5G is touted as a game-changing technology, with the ability to dramatically boost the speed and coverage of wireless networks. It can run between 10 and 100 times faster than your typical 4G cellular connection today, and is poised to change our lives in the coming years.

Essentially every major Android handset maker will launch a 5G phone this year, but Apple won't have a 5G iPhone until 2020 at the earliest. It's relying on Qualcomm to supply the modem for that device, but their development efforts got started later than usual because of their legal battles. Having a 5G device this year isn't essential. (The networks are still rolling out.) But not having one by late next year could be devastating to Apple's phone business.

Because Qualcomm is the lone 5G modem supplier, its chips don't come cheap. And while it tweaks its modems for Apple's devices, it's not the same as Apple actually controlling the development from start to finish. 

Getting access to Intel's modem business doesn't mean Apple can build its own 5G chips this year or probably even two years down the road. Modems are complicated and constantly being updated to take advantage of higher speeds and other features. But it could help Apple release an iPhone with its own 5G chips faster than that 2025 timeframe that was rumored. 

It also could help Apple explore putting 5G in other devices or even creating entirely new products that tap into the super-fast network.  

Once Apple can build its own 5G modem, it'll be able to integrate them on the same chip as the application processor. Doing so lets the chips take up less space in the phone, leaving more room for bigger batteries or letting the device be sleeker. And integrating the application processor and modem together also lowers power consumption and brings down the cost of handsets.

Qualcomm's Snapdragon lineup integrates its application processor with its modem, and that's the chip most Android handset makers use in their high-end flagship devices. In February, Qualcomm said its next Snapdragon chip will integrate its 5G modem with the brains of a device. Samsung has already said it'll use that chip in future Galaxy S devices, possibly including the Galaxy S11 in early 2020. 

Because Apple makes its own application processor but not its modem, its devices don't have integrated chipsets. Just imagine an iPhone with even better battery life and 5G. 

If it ends up buying Intel's smartphone modem business, that could be a reality.

Let's block ads! (Why?)

Read More Why Apple wants Intel's modem business - CNET : https://ift.tt/2Y1WDj2

Intel

A possible deal between Intel Corp. and Apple Inc. over smartphone modems pressured shares of Qualcomm Inc. and weighed on shares of Micron Technology Inc. on Tuesday, as analysts debated whether Intel would sell off memory assets next.

Late Monday, The Wall Street Journal reported that Intel INTC, +0.78%  was in advanced talks to sell its modem-chip business to Apple AAPL, +0.78%  for $1 billion or more. Such a deal has been the subject of speculation since Intel announced a planned exit from the smartphone modem business back in April following a licensing settlement between Apple and Qualcomm.

Intel shares rose 0.7% to $51.71 in recent activity, while Apple shares were up 0.5% at $208.30. In comparison, both the Dow Jones Industrial Average DJIA, +0.65%  and the S&P 500 index SPX, +0.68%  were up 0.6%, and the Nasdaq Composite Index COMP, +0.58%  was up 0.4%.

While the PHLX Semiconductor Index SOX, +1.23%  was up 1.1% and most chip makers were seeing stock gains, there were two noticeable decliners Tuesday: Qualcomm QCOM, -2.41%  and memory chip maker Micron MU, -0.51% At last check, Qualcomm shares were down 2.5% at $74.04 and Micron shares were down 0.6% at $46.91.

Evercore ISI analyst C.J. Muse, who has an in-line rating on Intel and outperform rating on Micron and Qualcomm, said such a deal is what’s expected of Intel Chief Executive Bob Swan, who was formerly chief financial officer of the company.

“More importantly, this transaction does further signal the new CEO’s approach to the business – a programmatic, rational, [return on invested capital] based approach across all businesses,” Muse said.

“Investors will now clearly focus on whether or not Intel will sell the Memory asset – we do not expect a sale, rather for Intel to focus more on partnerships/licenses/other models given the importance of XPoint to the company’s Data Centric portfolio and the need for scale as this business grows (thus, the current importance of maintaining 3-D NAND),” Muse said.

NAND chips are the kinds of flash memory chips used in USB drives and smaller devices such as digital cameras.

Wedbush analyst Daniel Ives also noted whether a modem sale could presage a deal on Intel memory assets.

Ives said “the more important question on our mind is will management look to shutter/divest other less profitable (and strategic) portions of its business (e.g. NAND).”

“We believe further divestitures of non-core businesses would certainly make INTC look more attractive, while allowing management to more closely focus on improving core operations increasing the likelihood of future execution, but we are not yet convinced management will move in this direction,” Ives said.

Back in October, Micron said it planned to eventually buy out Intel’s share of their flash memory partnership for $1.5 billion.

As for Qualcomm, Evercore’s Muse said he expects “Apple will likely take at least 2-3 years before having a viable modem solution.”

“At that point, we expect QCOM would be on its 4th or 5th generation 5G product, likely having a superior product at that point in time,” Muse said.

Bernstein analyst Stacy Rasgon, who has an underperform rating on Intel and a market perform rating on Qualcomm, said much depends on what Apple could build out of Intel’s modem assets.

“As far as QCOM goes, the eventual impact (if such a deal happens) would depend on whether AAPL can be more successful in developing a viable modem solution, on a suitable timeline, vs. Intel’s abortive efforts, though we note that AAPL would not be burdened (unlike Intel) by the need to create a profitable stand-alone business out of it, and in general we have been impressed over the years by AAPL’s homegrown semiconductor efforts,” Rasgon said.

Raymond James analyst Chris Caso said the Apple and Intel deal has a few complications.

“Most importantly, Intel’s 5G modem doesn’t appear to work, judging by Apple’s decision to capitulate to Qualcomm back in May, to ensure that Apple would have a 5G iPhone in 2020,” Caso said. “That doesn’t mean that it will never work, and at Apple’s size even $1B would be a reasonable expense in the hope that the Intel business could one day have a competitive product. But the history of modem development suggests that, once a product has fallen behind it’s difficult to catch up.”

“The other complication is that Intel can’t fully exit the modem business, since they will need access to a 5G modem for client computing,” Caso noted. “We confirmed this view with the company during their analyst day in May, after they had stated their intention to exit the smartphone modem business. Once 5G arrives in earnest, we think it will be difficult to sell any computing device (a PC, tablet, or anything else) that doesn’t include a 5G modem.”

Let's block ads! (Why?)

Read More Rumored Intel sale of smartphone modem business to Apple weighs on Qualcomm stock - MarketWatch : https://ift.tt/2Gsz5cb