The Poughkeepsie Journal, citing anonymous sources with knowledge of the inner workings of IBM, said the deal had been dubbed “Project Next.”

The Journal reported that the talks may have not only died because of price, but perhaps because of national security concerns. IBM is a so-called “trusted foundry” for the U.S. military and GlobalFoundries is owned by the government of Abu Dhabi.

IBM had been seeking as much as $2 billion in the deal, although sources said last week that GlobalFoundries has presented IBM with its final offer and that IBM may have not thought it was high enough.

http://blog.timesunion.com/business/ibm-deal-with-globalfoundries-may-be-dead/60884/