Intel is being sold out piece by piece. The company’s important business goes to the Chinese

Intel’s Enpirion Power Solutions converter and voltage regulator business unit will become MediaTek’s property by the end of 2020. The deal will cost about 85 million dollars.

Tuesday, November 17, 2020, 11:33 GMT

Minus one undertaking at Intel
MediaTek announced plans for the purchase of American Intel subsidiary Enpirion Power Solutions. By the end of 2020, MediaTek expects to follow all of the terms of the contract.

According to the Gizmochina portal, the sum of the deal will be 2.4 billion yuan, or around 85 million dollars at the exchange rate as of 17 November 2020. At the time of the publication of the content, Intel did not confirm or deny the selling of part of its company.

MediaTek is a Taiwanese firm best known for its mobile and tablet ARM processors. Its chips are most commonly used in entry-level and mid-range models, but there are also chips for gaming and flagship phones in the MediaTek assortment.

What is achieved by Enpirion Power Solutions
The development of switching voltage converters, including the all-in-one PowerSoC systems, is the central company of Enpirion Power Solutions. These are fully engineered step-down switching power converters (DC / DC converters), with power switches, a choke, a PWM controller and high-frequency filter capacitors.

PowerSoC is used with low-consumption current (no more than 1.5 A) power supplies. Classic voltage converters for systems with a large input voltage spectrum and output current up to 2.5 A as well as linear voltage regulators are also included in the company’s assortment. They are used for minimal current consumption (within 0.15 A) schemes.

The goods of Enpirion Power Solutions are used in many kinds of industrial technology. It can be found, for example, in servers and telephone systems, home computers, and laser printers.

Originally, the firm was called Enpirion. In 2013, it got its name in the form of Power Solutions, when Altera, a Californian FPGA developer and one of the largest in its region, acquired it.

Ever since the end of 2015, Intel has owned Enpirion Power Solutions. It acquired it for $16.7 billion along with Altera itself.

Intel’s Enpirion Power Systems converter and voltage regulator business unit will become MediaTek’s property by the end of 2020. The deal will cost about 85 million dollars.

Minus one undertaking at Intel
MediaTek announced plans for the purchase of American Intel subsidiary Enpirion Power Solutions. By the end of 2020, MediaTek expects to follow all of the terms of the contract.

According to the Gizmochina portal, the sum of the deal will be 2.4 billion yuan, or around 85 million dollars at the exchange rate as of 17 November 2020. At the time of the publication of the content, Intel did not confirm or deny the selling of part of its company.

MediaTek is a Taiwanese firm best known for its mobile and tablet ARM processors. Its chips are most commonly used in entry-level and mid-range models, but there are also chips for gaming and flagship phones in the MediaTek assortment.

Why was a piece of Intel needed by MediaTek?
MediaTek plans to extend its line of products with the purchase of Enpirion Power Solutions. Upon conclusion of the deal, it will be able to sell prospective consumers a line of voltage regulators and converters with its own branding on the case.

The management of MediaTek believes that the acquisition of Enpirion Power Solutions would enable the company to scale up its market and enhance its economic performance and competitiveness. It is not yet clear when MediaTek expects to take advantage of the new division.

Financial status of Intel
The announcement of poor financial reports for the third quarter of 2020 followed the selling of Enpirion Power Solutions and Intel’s NAND company. For Intel, this time concluded with a 4 percent year-on-year decrease in sales to $ 18.3 billion. The gross margin dropped by 5.7 percentage points – up to 53.1%.

In comparison, the gross profit of the company declined immediately by 22 percent, dipping to $ 5.1 billion, although the net profit saw a much faster decline relative to the third quarter of 2019, declining by 29 percent, to $ 4.3 billion. After the publication of the financial report, Intel shares fall 10 percent.

We also remember that Intel made another contract in July 2019, this time with Apple. In return for $1 billion, she turned her share of her modem company over. In the fourth quarter of 2019, the transaction was closed and Intel said that this move resulted in losses amounting to billions of dollars in December 2019.