Intel says it will buy Tower Semiconductor for $5.4 billion

SANTA CLARA, Calif. (AP) — Intel said it is buying Israeli company Tower Semiconductor for $5.4 billion in a deal that could give the California chipmaking giant an edge in the business of making custom-designed chips. Intel CEO Pat Gelsinger said Tuesday that acquiring Tower will help expand Intel’s newly formed “foundry” business that makes microprocessors for other firms. Tower, based in Migdal Haemek, Israel, specializes in making analog chips used in cars, mobile devices and in industrial, medical and military sectors. The companies said it could take a year for the deal to close. It’s been approved by each company’s board of directors but will face scrutiny from government regulators.