New Delhi, July 26 (UNI) Intel, a California-based giant chip maker, is planning to separate its networking and communications division into a stand-alone company.
Reportedly, the chipmaker also started to identify investors for this purpose. This restructuring move is seen as CEO Tan’s another strategy to rejuvenate Intel by selling off its non-core assets and cutting costs by reducing investments and staff.
Reportedly, Intel has been planning the divestiture of its network and communications unit since May and is looking to follow the same strategy that the firm used for its Altera division.
Intel’s Altera Division has a focus on programmable logic devices (PLDs), field-programmable gate arrays (FPGAs), and system-on-chip FPGAs.
In an email statement, Intel said, “Similar to Altera, we will remain as an ‘anchor investor’ while looking for our future growth prospects.”
In April, Intel agreed to sell a majority stake of its Altera Programmable chip business.
The network business of Intel produces chips for different telecommunications equipment and generates massive revenue, which accounts for a surge in Intel’s total sales in previous years.
