IBM to pay Globalfoundries to take over chip unit

International Business Machines Corp. is paying Globalfoundries Inc. $1.5 billion to take its chip operations off its hand, a personal familiar with the matter told the Wall Street Journal.

The big technology company has long had losses on its semiconductor operations, which produce chips for IBM computers and for some external customers.

"You would think that IBM would have gotten cash for it, not the other way around," said G. Dan Hutcheson, an analyst at VLSI Research.

Read more from the Wall Street Journal.