Negotiations Underway Between UK and Tech Companies on Artificial Intelligence Chips, Says Telegraph

According to the Telegraph, discussions have taken place between UK government officials and major tech companies Nvidia Corp., Advanced Micro Devices Inc., and Intel Corp. regarding the acquisition of equipment for national artificial intelligence research.

The government has allocated 100 million pounds ($127 million) for artificial intelligence chips, the Telegraph reported on Sunday. It said the effort could be in the “advanced stages” of up to 5,000 Nvidia graphics processing units.

Prime Minister Rishi Sunak has vowed to make the UK a global science and technology “superpower” by 2030. The Prime Minister is targeting a summit later this year that aims to bring together world leaders and top AI executives at an event backed by US President Joe Biden. .

A $5.4 billion international circuit deal with Intel has been cut because the green light from China never arrived

(AP) – Intel’s $5.4 billion purchase of an Israeli chip maker has been called off after China did not sign the deal amid rising tensions with the United States.

It was a joint decision between Intel and Tower Semiconductor, the companies said Wednesday. Intel said the deal was terminated due to “failure to obtain regulatory approvals required by the merger agreement in a timely manner.”

The deal required approval from several regulators worldwide, including China. Chinese regulators failed to approve the deal by a deadline on Wednesday, despite Intel CEO Patrick Gelsinger traveling to China last month to win them over.

The ill-conceived deal between the two companies comes amid heightened tensions between the US and China, particularly as the US has tightened export controls and imposed restrictions aimed at crippling China’s ability to buy and manufacture advanced chips.

In response, China’s antitrust regulator, the state’s market regulator, appears to be dragging its feet in approving mergers by American companies such as the Intel-Tower deal.

Last month, ahead of Treasury Secretary Janet Yellen’s visit to Beijing, China imposed export restrictions on two metals used in computer chips and solar cells.

Intel originally intended to complete the deal by the first quarter of the year, but later extended the deadline after it failed to get Chinese approval. Intel hoped that its acquisition of Tower would expand its manufacturing capacity and open up growth opportunities for the company in the United States, Israel, Italy and Japan.

Intel Corp. will pay Tower a $353 million termination fee, the U.S. semiconductor giant said.

Tower’s US stock market fell more than 9% at the opening bell, and Tel Aviv fell more than 10%.

“Tower was very excited to join Intel to enable Pat Gelsinger’s vision for Intel’s foundry business,” said Russell Ellwanger, CEO of Tower Semiconductor, in a written statement. “We appreciate the efforts of all parties involved.”