Apple Makes $600 Million Deal With Parts Provider

Apple has made a deal to improve the quality of their computer parts by integrating a team of engineers from a company that supplied their microchips. Apple made a deal to buyout parts of Dialog Semiconductor, an Anglo-German hardware firm that is based in Europe.

This marks a new turn for Apple, as it means the chip design will now be developed with more involvement from Apple itself. Although Dialog Semiconductor has stated that this deal will be a licensing and asset transfer deal, Apple is spending $600 million to acquire the resources from them as well as 300 employed engineers.

Apple is also buying out patents, and offices in the UK, Italy, and Germany. The 300 people moving to Apple make up 16 percent of Dialog’s staff, so it’s a big move for the company that has worked with apple since the first iPhone.

The deal comes after months of speculation, and is a rather large investment by Apple, though the company’s recently reaching a market value of over $1 trillion makes the $600 million look like a drop of water by comparison. However, Apple is known to make smaller acquisitions for software and hardware companies.

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6 years ago