It turns out that ever more abundant, powerful, and cheaper chips don’t just turn the wheels on incumbent industries – there’s consolidatory pressure in the silicon market. To wit:
Qualcomm agrees to buy NXP for $47bn
. NXP itself was spun out of Philipps only 10 years ago, because Philipps didn’t know what to do with it. NXP specialises in embedded systems mainly for automotive.
On that occasion, I’d wholeheartedly recommend a re-read of Steve Cheney’s “Apple’s Platform Advantage
”. Spoiler alert: It’s chips all the way down.