Globalfoundries Inc

Cirrus Logic reported record first-quarter fiscal 2027 results with revenue of $460 million, up 13% year over year, and non-GAAP earnings per share of $1.84. Management cited strong demand for custom boosted amplifiers and smart codecs, and said the product pipeline across audio and high-performance mixed-signal businesses is the strongest in years. For the second quarter, the company expects revenue of $510 million to $570 million, GAAP gross margin of 52% to 54%, and non-GAAP operating expenses of $140 million to $146 million. Cirrus Logic also secured dedicated wafer capacity and pricing with GlobalFoundries for 2027 and 2028, and plans to begin sampling a new family of analog front-end products for smart meters in the September quarter.

GlobalFoundries reported second-quarter revenue of $1.786 billion, up 6% year over year, driven by strong demand in communications infrastructure and data center. The company's communications infrastructure and data center segment grew 62% year over year to $286 million, and management now expects full-year 2026 growth of 50% to 60% for that segment. Non-IFRS gross margin expanded 470 basis points to 29.9%, and non-IFRS EPS of $0.46 hit the high end of guidance. GlobalFoundries also announced an expected $375 million grant from the U.S. Department of Commerce for quantum manufacturing and a $300 million letter of intent for silicon photonics development.

GlobalFoundries reported second-quarter fiscal 2026 revenue of $1.786 billion, up 9% sequentially and 6% year over year, and raised its full-year growth outlook for its communications infrastructure and data-center segment. Non-IFRS gross margin expanded to 29.9%, a 470-basis-point improvement from the prior-year period, driven by a richer revenue mix and higher utilization. Communications infrastructure and data-center revenue jumped 62% year over year, and the company now expects that segment to grow 50% to 60% in 2026, up from a prior forecast of high-30% growth, with silicon photonics revenue expected to more than double. Automotive revenue declined 13% sequentially, but the company maintained its low-double-digit full-year growth expectation, while smart-mobile revenue is now expected to decline by a low-teens percentage rate. For the third quarter, GlobalFoundries forecast revenue of $1.885 billion and diluted earnings per share of $0.51, plus or minus $0.05.

GlobalFoundries reported quarterly earnings of $0.46 per share, surpassing the Zacks Consensus Estimate of $0.44 per share and marking an earnings surprise of +4.55%. Revenue for the quarter ended June 2026 came in at $1.79 billion, exceeding the consensus estimate by 1.42% and up from $1.69 billion a year ago. The company has now beaten consensus EPS and revenue estimates in each of the last four quarters. Shares of GlobalFoundries have gained about 49% year-to-date, outperforming the S&P 500's 13% advance. Ahead of the report, the estimate revision trend was mixed, translating into a Zacks Rank #3 (Hold) for the stock.

The Commerce Department has signed letters of intent to provide $874 million in CHIPS and Science Act incentives to seven companies advancing semiconductor technologies for AI and high-performance computing. GlobalFoundries will receive up to $300 million to accelerate U.S. R&D of co-packaged optics, while Kepler will receive up to $245 million to develop advanced AI memory technology using 3D and ferroelectric technologies. Multibeam Corporation is set to receive up to $140 million for advanced chip packaging, and Extropic, Thintronics, OBSIDIA Semiconductors, and Aeluma would receive investments ranging from $30 million to $75 million for projects in low-power computing, advanced materials, and counterfeit detection. The companies have signed preliminary agreements pending further review, and the government will receive minority, non-controlling equity stakes in return. This follows the Trump administration's award of nearly $2 billion in CHIPS Act funding to nine companies in May, including $1 billion to International Business Machines Corp. and $375 million to GlobalFoundries.

The Trump administration has accumulated equity stakes in 30 companies across sectors including quantum computing, steel, and rare earth minerals, with semiconductors as the primary focus. The portfolio includes a 10% stake in Intel announced about 11 months ago, and this week the administration expanded it with letters of intent for stakes in seven additional semiconductor companies that could see $874 million disbursed in return for equity. The biggest name among the new deals is Global Foundries, which is in line for a $300 million stake, marking its second government equity stake after an earlier one in quantum computing. The approach, funded by the 2022 CHIPS and Science Act, marks a shift from the Biden administration's grants and loans to a venture-capital-style strategy that seeks both strategic benefits and financial upside. Critics, including the Cato Institute, question whether the government is picking favorites and what happens if companies falter, while the administration points to Intel's stock more than tripling since the stake was taken as evidence of potential taxpayer gains.

GlobalFoundries has signed a letter of intent with the U.S. Department of Commerce for a $300 million award to accelerate U.S. leadership in silicon photonics. The funding, from the CHIPS Research and Development Office, will advance next-generation optical materials, wafer technologies, and advanced packaging including 3D hybrid bonding, supporting near-packaged optics and co-packaged optics. In a separate agreement, the Commerce Department will receive equity from GlobalFoundries representing approximately 1 percent ownership. The work builds on the company's recently introduced SCALE platform and will leverage its facilities in Malta, New York, and Burlington, Vermont. Major technology firms including AMD, Broadcom, Cisco, Corning, Lumentum, Marvell, Meta, Microsoft, NVIDIA, and Qualcomm voiced support for the investment.

Wedbush has indicated that Taiwan Semiconductor Manufacturing may raise prices for mature-node manufacturing processes beginning in early 2027, marking the company's first adjustment to mature-node pricing in more than three years. Final pricing decisions are expected later this year. The firm noted that any pricing increase by Taiwan Semiconductor could signal improving conditions across the mature-node foundry market and support stronger industry pricing trends, reflecting healthier demand dynamics for legacy chip production. Wedbush added that other foundry companies, including United Microelectronics, GlobalFoundries, and Tower Semiconductor, could also benefit if industry pricing strengthens.

GlobalFoundries announced the production readiness of its SLATE wafer-to-wafer bonding technology on its 9SW radio-frequency silicon-on-insulator platform. Manufactured at the company's 300mm facility in Singapore, this 3D integration solution is expected to ramp to volume production by the second half of 2027. The SLATE technology allows designers to stack and integrate large-size field-effect transistors in vertical architectures, reducing die size by up to 45%. This capability helps decrease the total design area for radio-frequency components, such as antenna tuners and amplifiers, in space-constrained 5G mobile devices. An integrated process design kit is currently available to help designers begin prototyping for next-generation mobile and wireless applications.

Kalshi contract traders remain highly skeptical that a deal will materialize before the end of the year for the U.S. government to take a stake in OpenAI or Anthropic, despite recent reports that OpenAI proposed granting a 5% stake to the Trump administration. Traders see odds of less than 30% for such a stake, according to a CNBC report. In contrast, odds are well over 60% that the government could take a stake this year in quantum computing companies Rigetti Computing or D-Wave Quantum, as well as in semiconductor manufacturer GlobalFoundries.

GlobalFoundries announced that its SLATE wafer-to-wafer bonding technology is now production-ready on the 9SW RF silicon-on-insulator platform at its 300mm Singapore fab, enabling advanced 3D integration for compact, high-performance cellular front-ends. This step opens a path to vertically stacked RF designs that can shrink die size by up to 45%, potentially reshaping how space-constrained 5G and satellite components are engineered. The move reinforces GlobalFoundries' specialty foundry positioning in RF, power, and differentiated platforms, though it does not materially change core risks around pricing pressure in smart mobile devices or the heavy capital needs of expanding capacity. The company's narrative projects $8.6 billion revenue and $1.3 billion earnings by 2029, assuming 8.4% yearly revenue growth and an earnings increase of about $415 million from $885.0 million today. Among recent announcements, the launch of Quantum Technology Solutions with support of up to US$375 million from the U.S. Department of Commerce highlights GlobalFoundries' push to anchor itself in specialized, higher-value technologies across RF, quantum, and photonics.

President Donald Trump signed two executive orders on Monday placing quantum computing at the center of U.S. economic and national security policy. The first order directs federal agencies to deliver a scientifically relevant quantum computer to the Department of Energy by 2028 and establishes the Quantum Computer for Application Development and Discovery Science initiative. The second order accelerates the deadline for migrating all crucial federal infrastructure to post-quantum cryptography standards, aiming to prevent cyberattacks from more-powerful quantum technology. These actions follow a May announcement of $2 billion in CHIPS Act grants to nine quantum companies, the largest single quantum research and development commitment in U.S. history. Three publicly traded companies—IBM, GlobalFoundries, and Palo Alto Networks—are positioned to benefit from the intersection of government funding, mandates, and timelines, though they are not pure quantum plays.

BAE Systems has successfully demonstrated that its Endura system-on-chip space processor can operate in the most severe strategic radiation environments. The milestone positions the Endura SoC as a leading high-performance processor for the space community, according to Joe Dziezynski, Space Systems product line director at BAE Systems. Developed with the company's commercial radiation-hardened 45 nanometer technology built on GlobalFoundries' 45nm silicon-on-insulator platform, the processor delivers a smaller, lower-power and more cost-effective solution for missions requiring survivability in harsh radiation. The strategic radiation-hardened testing further shows the technology can increase survivability of other space system elements, including single board computers. BAE Systems is currently accepting orders for Software Development Units featuring the Endura SoC, with work performed at its Manassas, Virginia facility, a U.S. Department of War Category 1A Microelectronics Trusted Source.

Infosys announced an expanded multi-year collaboration with GlobalFoundries to deliver AI-led managed services across GF's enterprise IT landscape. Under the engagement, Infosys will manage GF's end-to-end application, infrastructure, data and service desk operations, transitioning from externally supported operations to a true managed services model driven by AI, automation, and continuous optimization. GF selected Infosys based on its proven track record as an incumbent technology provider and its deep semiconductor domain expertise. The collaboration aims to reduce incidents, improve end-user experiences and sustainably lower total cost of ownership over the long term, helping GF move from reactive IT management to predictive and autonomous service delivery.

Illinois Governor JB Pritzker is staking the state's economic future on quantum computing, calling it an area where Illinois has a right to win. The state has committed $500 million to the Illinois Quantum and Microelectronics Park, a 128-acre South Side campus that broke ground last September, backed by Argonne and Fermi national laboratories and research from the University of Chicago, Northwestern, and the University of Illinois Urbana-Champaign. The park's anchor tenant, Palo Alto-based startup PsiQuantum, is building what could become the world's first utility-scale fault-tolerant quantum computer inside a 65,000-square-foot warehouse that is nearing completion. PsiQuantum raised $1 billion last November at a $7 billion valuation and received $100 million under the CHIPS and Science Act, and is partnering with GlobalFoundries to manufacture specialized photonic chips. The park has six tenants including IBM, and Pritzker cited demand for quantum software developers, cryogenic systems engineers, and fabrication technicians.

GLOBALFOUNDRIES and Qualinx have completed the first fully European end-to-end semiconductor manufacturing flow at GF's Dresden fab, proving that critical security chips can be produced and delivered entirely within Europe. The milestone covers aerospace, defense, and critical infrastructure applications while keeping all design data and materials within the European Union. The project is co-funded by the European Chips Act and positions Dresden as a hub for sovereign manufacturing, with a fully automated flow targeted by the end of 2026 and broader customer adoption in 2027. GLOBALFOUNDRIES is also working with Deutsche Telekom to ensure production data remains processed and stored within European networks.

Shares of Applied Materials jumped 6.7% in afternoon trading after multiple analysts raised their price targets following the company's unveiling of a new technology platform and major partnerships. Citi raised its target to $710 from $550, while Cantor Fitzgerald, Barclays, and UBS also lifted their targets. The positive sentiment was fueled by the announcement of SENZ™, an integrated visual system for AI-powered smart glasses, along with a long-term development agreement with EssilorLuxottica, a manufacturing collaboration with GlobalFoundries, and a compute integration partnership with Qualcomm. The stock closed at $597.77, up 4.8% from the previous close.