Intel Corp is in talks to buy fellow chipmaker Altera Corp in a deal likely to top $10 billion, according to a source familiar with the matter, making it Intel's biggest purchase ever and the latest merger in the quickly consolidating semiconductor sector. The acquisition of Altera, which makes programmable chips widely used in cellphone towers, the military and other industrial applications, would underscore Intel Chief Executive Officer Brian Krzanich's determination to expand into new markets as the personal computer industry loses steam. Earlier this month, Intel slashed nearly $1 billion from its first-quarter revenue forecast to $12.8 billion, plus or minus $300 million, as small businesses put off upgrading their personal computers. Shares of Altera shot up about 28 percent after the talks were first reported by the Wall Street Journal, closing at $44.39 per share on the Nasdaq.
By Michael Connor NEW YORK (Reuters) - Wall Street on Friday closed higher for the first time in a week, lifted by rising tech stocks, while oil prices slumped 5 percent on receding fears about Middle East fighting disrupting supplies. The major U.S. stock indexes snapped a four-day losing streak after the Wall Street Journal reported chipmaker Intel Corp is in talks to buy rival Altera Corp. Chipmakers bounced, led by a 28 percent gain in Altera. "We've seen a lot of M&A news recently and it?s helping the market," said Stephen Massocca, chief investment officer at Wedbush Equity Management LLC in San Francisco. Oil investors' worries diminished about the conflict in Yemen, which is close to a major chokepoint for oil tankers, and focused on new supplies possibly coming to market after any Iranian nuclear deal.
By Emily Flitter NEW YORK (Reuters) - Big Wall Street banks are so upset with U.S. Democratic Senator Elizabeth Warren's call for them to be broken up that some have discussed withholding campaign donations to Senate Democrats in symbolic protest, sources familiar with the discussions said. Representatives from Citigroup, JPMorgan, Goldman Sachs and Bank of America, have met to discuss ways to urge Democrats, including Warren and Ohio Senator Sherrod Brown, to soften their party's tone toward Wall Street, sources familiar with the discussions said this week.
Quote of the Day
A wise old owl sat upon an oak; The more he saw the less he spoke;The less he spoke the more he heard; Why aren't we like that wise old bird? -- Edward Hersey Richards