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GlobalFoundries to Acquire Synopsys' Processor IP Solutions Business, Expanding Capabilities to Accelerate Physical AI Applications

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MALTA, N.Y., Jan. 14, 2026 (GLOBE NEWSWIRE) -- GlobalFoundries (Nasdaq: GFS) (GF) today announced it...

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AI Summary

GFS to acquire Synopsys’ ARC Processor IP Solutions business for enhanced capabilities. Acquisition strengthens GFS in Physical AI and custom silicon markets. Integration set to accelerate delivery of energy-efficient processing solutions. Expected completion in second half of 2026, subject to regulatory approval. This move may lower barriers for customer adoption of essential technologies.

Sentiment Rationale

The acquisition aligns with demand for AI technology and semiconductor advancements. Historical gains in similar acquisitions indicate potential for upward price movement.

Trading Thesis

The acquisition's benefits will unfold over time as integration enhances GFS's market position. Similar acquisitions historically take time to reflect in stock prices.

Market-Moving

  • GFS to acquire Synopsys’ ARC Processor IP Solutions business for enhanced capabilities.
  • Acquisition strengthens GFS in Physical AI and custom silicon markets.
  • Integration set to accelerate delivery of energy-efficient processing solutions.

Key Facts

  • GFS to acquire Synopsys’ ARC Processor IP Solutions business for enhanced capabilities.
  • Acquisition strengthens GFS in Physical AI and custom silicon markets.
  • Integration set to accelerate delivery of energy-efficient processing solutions.
  • Expected completion in second half of 2026, subject to regulatory approval.
  • This move may lower barriers for customer adoption of essential technologies.

Companies Mentioned

  • SNPS (SNPS)
  • AMD (AMD)
  • INTC (INTC)

Corporate Developments

The acquisition is likely to strengthen GFS's offerings and market share in a growing sector, influencing investor sentiment positively.

GlobalFoundries (GFS) to Acquire Synopsys' Processor IP Solutions Business

MALTA, N.Y., Jan. 14, 2026 (GLOBE NEWSWIRE) -- GlobalFoundries (Nasdaq: GFS) has entered into a definitive agreement for the acquisition of Synopsys’ ARC Processor IP Solutions business. This strategic acquisition is designed to enhance GlobalFoundries' capabilities in custom silicon, particularly focusing on physical AI applications.

Details of the Acquisition

The acquisition by GlobalFoundries includes several key product lines: ARC-V, ARC-Classic, ARC VPX-DSP, and ARC NPX NPU. Additionally, it encompasses advanced applications-specific instruction set (ASIP) processor tools such as ASIP Designer and ASIP Programmer. With this acquisition, these sophisticated technologies will be integrated into MIPS, a subsidiary of GlobalFoundries, providing a robust processor IP suite aimed at improving physical AI applications.

Implications for GlobalFoundries and MIPS

The inclusion of Synopsys’ ARC technologies is set to bolster GlobalFoundries' compute capabilities, allowing for scalable and energy-efficient processing solutions suitable for various applications, including:

  • Wearables
  • Robotics
  • AI-driven consumer applications
  • Advanced AI silicon

“This acquisition doubles down on our commitment to advancing our leadership in Physical AI. By combining Synopsys’ ARC IP and MIPS technologies with GF's advanced manufacturing capabilities, we are lowering the barrier for customer adoption of the essential technologies that our customers need to innovate faster for the next generation of compute and AI applications,” stated Tim Breen, CEO of GlobalFoundries (GFS).

Continuity for Synopsys

Following the deal, Synopsys will maintain and expand its design IP portfolio, including logic libraries and security IP. “This transaction enhances the focus of Synopsys’ IP business on furthering our leadership in essential interface and foundation IP while winning new, high-value opportunities,” commented Sassine Ghazi, president and CEO of Synopsys.

Transaction Outlook

The acquisition of Synopsys' ARC and ARC-V Processor IP Solutions business is subject to customary closing conditions, including necessary regulatory approvals. The deal is expected to close in the second half of calendar year 2026. Post-acquisition, GlobalFoundries will collaborate closely with Synopsys to ensure a smooth transition for employees, customers, and partners involved.

About GlobalFoundries (GFS)

GlobalFoundries is a leading manufacturer of essential semiconductors relied upon globally for various applications including automotive and IoT devices. With a commitment to innovation, GFS partners with customers to deliver efficient, high-performance products across high-growth markets.

About MIPS

MIPS, a subsidiary of GlobalFoundries, is a prominent provider of RISC-V IP solutions and software tailored for physical AI platforms. MIPS technology facilitates real-time AI applications across industries such as aerospace, automotive, and industrial robotics.

Forward-Looking Statements

This announcement contains forward-looking statements about the combination of GlobalFoundries' MIPS business with Synopsys’ Processor IP Solutions business. Readers should consider the associated risks and uncertainties detailed in GlobalFoundries’ reports filed with the Securities and Exchange Commission.

For media inquiries, contact: Erica McGill at erica.mcgill@gf.com.

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