Intel rumoured to be considering $30bn purchase of GlobalFoundries

CEO Pat Gelsinger has been outspoken about tackling the supply constraints seen during the pandemic

Intel is considering purchasing chip manufacturer GlobalFoundries for a sum of around $30bn, according to the Wall Street Journal.

Chip shortages have hit vendors hard since the start of the pandemic, with most predicting the issue will persist into 2022.

The CEO of Intel, Pat Gelsinger, has been among the most outspoken when it comes to the impact of the shortages and has called for more production of chips outside of Asia, while also announcing that the company will spend $20bn on two new factories in Arizona.

Acquiring GlobalFoundries would represent Intel's biggest ever acquisition, though the Wall Street Journal is reporting that there is no guarantee a deal will be reached with plans for a GlobalFoundries IPO still a possibility.

It adds that talks "don't appear to include GlobalFoundries executives" as it currently stands.

The lack of key components is driven by several factors, including a surge in demand for hardware driven by the pandemic and shift to hybrid working, as well as other matters including weather conditions where the chips are produced.

Gelsinger is one of a number of CEOs to speak out about the impact of the shortages, with the likes of Cisco's Chuck Robbins and Dell's Michael Dell also admitting that it has presented a significant challenge for business.