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> ARM CPUs are the de-facto standard in the embedded world (except for simple 8-bit MCUs), so what should Xilinx have done? Design their own, proprietary CPU architecture and ISA? Choose some other architecture with 2% market share? Both paths would have led to the immediate death of the whole product line.

Totally agree. IIRC, didn't Xilinx have another hard core CPU+FPGA design before the Zynq using a PowerPC? PPC is largely irrelevant these days. The high-performance embedded space is dominated by ARM today with x86 and PPC taking the rest. There's no way Xilinx would choose x86 with Intel owning Altera.

Maybe in 5-10 years RISC-V will start to eat some of ARM's share, but that remains to be seen.



> didn't Xilinx have another hard core CPU+FPGA design before the Zynq using a PowerPC?

Yes; more than one. There were at least the Virtex II Pro, Virtex 4 FX, and Virtex 5 FX families.


Intel didn't own Altera in 2010.




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