According to informed sources, Arm Holdings has contacted intel expressing interest in acquiring the latter's product division, but was informed that there is no interest in selling.

Inquiries from high-level personnel at Arm have not shown interest in intel's manufacturing business. Since the discussions are being held privately, the individual requested to remain anonymous. Intel has two main business divisions: one is the product group that sells chips for personal computers, servers, and network devices, and the other operates its own factories.

Arm and intel representatives declined to comment.

Once the world's largest chip manufacturer, intel's business has rapidly deteriorated since the beginning of this year, making the company a target for acquisition speculation. The company released a disastrous financial report last month—resulting in the most severe stock plunge in decades, leading to a decision to lay off 15,000 employees to cut costs. The company has also scaled back factory expansion plans and halted long-standing dividend payments.

Arm's CEO Rene Haas has been expanding the company's business beyond smart phone chip design.

As part of its transformation efforts, intel is detaching its chip product division from its manufacturing business. This move aims to attract external customers and investors, but also lays the foundation for a split. Bloomberg reported last month that the company had considered the possibility of a split.

Most of Arm's shares are held by SoftBank Group, with the company's majority of revenue coming from smart phone chip design. However, CEO Rene Haas has been seeking to expand influence beyond this industry. This includes entering the personal computer and server fields, where its chip designs compete with intel. Despite intel's waning technological edge, the company based in Santa Clara, California still dominates this market.