Intel has cancelled its plans to buy Israeli foundry Tower Semiconductor after the deal failed to get approval from Chinese regulators ahead of a final deadline amid souring Sino-US relations.
Intel said that the deal was terminated “due to the inability to obtain in a timely manner the regulatory approvals required under the merger agreement.”
The deal required approval from a number of regulators worldwide, including those in China. Chinese regulators failed to approve the deal by a deadline Wednesday, even after Intel CEO Patrick Gelsinger traveled to China last month in a bid to win them over.
It’s pay walled but how would China enforce that ruling? Ban all of Intel’s transactions with Chinese entity? Fines?
Other sources:
https://apnews.com/article/intel-tower-semiconductors-china-regulators-104796a6602e8eef533f07c6af0f7d6b
https://www.reuters.com/technology/intel-walk-away-54-bln-acquisition-tower-semiconductor-sources-2023-08-16/
I’m not sure as the why as I don’t see a Tower Semiconductor foundry in China
https://en.m.wikipedia.org/wiki/List_of_semiconductor_fabrication_plants
Edit: They have an office in China
https://www.nytimes.com/2023/08/16/business/intel-tower-semiconductor-china.html
Also
https://towersemi.com/about/history/
So what I’m getting from this is that any time Chinese officials are involved, they will prioritize Chinese interests. A surprise to to no one really.