(Bloomberg) — Intel Corp., the once-dominant chipmaker struggling to revive its enterprise and funds, plans to show its enterprise capital arm right into a separate fund with a brand new identify.
Most Learn from Bloomberg
The chipmaker will proceed to be an “anchor investor within the new firm,” in response to an announcement Tuesday. The division, at present referred to as Intel Capital, has greater than $5 billion in belongings.
Intel’s enterprise arm is among the best-known company funding automobiles within the historical past of Silicon Valley and has put greater than $20 billion into companies during the last 30 years. Traditionally, it has focused on know-how that it felt would assist advance the private pc and server industries, the place the company nonetheless will get most of its gross sales. Intel Capital’s investments have included ASML Holding NV, Crimson Hat Inc. and VMware Inc.
The transfer introduced Tuesday is designed to provide the unit larger independence and permit it the liberty to boost capital from different sources.
“Standalone operations are anticipated to start within the second half of 2025, at which era Intel Capital will function underneath a brand new identify,” the Santa Clara, California-based firm stated in an announcement. “The present Intel Capital group will transfer to the brand new firm, and enterprise operations will proceed as regular all through the transition.”
Intel is reeling from a lack of market share and a fast-changing chip business the place Nvidia Corp. now reigns. The corporate’s decline has pressured it to chop jobs and different bills to protect money. The plight additionally contributed to the ouster of Chief Govt Officer Pat Gelsinger late final 12 months. The corporate is at present in search of his substitute.
Intel can also be taking different actions to slender its focus and liberate capital. That features searching for buyers for its Altera unit, in response to folks accustomed to the matter. The enterprise, which makes programmable chips, was acquired for about $17 billion in 2015.
One other Intel acquisition, the self-driving tech agency Mobileye World Inc., had an preliminary public providing in 2022. Although Intel retained possession of a lot of the enterprise, Mobileye is seen as a possible supply of money for the chipmaker.
(Updates with different makes an attempt to boost money in closing paragraph.)
Most Learn from Bloomberg Businessweek
©2025 Bloomberg L.P.
