News

Intel To Acquire McAfee for $7.68 Billion

Intel will acquire security software tools supplier McAfee Inc. for $7.68 billion in cash, the company said today. The boards of both companies have agreed to the blockbuster deal, which Intel said will enable it to provide processor and network-based security.

The deal puts a 60 percent premium on McAfee's share closing price yesterday, and underscore's Intel's desire to further expand beyond its core hardware business. Intel said it will operate McAfee as a wholly-owned subsidiary that will report to the company's Software and Services Group.

Intel said it has placed security at the same level of priority strategically as improving energy efficiency and providing Internet connectivity.

"With the rapid expansion of growth across a vast array of Internet-connected devices, more and more of the elements of our lives have moved online," said Paul Otellini, Intel's president and CEO, in a statement. “In the past, energy-efficient performance and connectivity have defined computing requirements. Looking forward, security will join those as a third pillar of what people demand from all computing experiences."

McAfee has a broad portfolio of products that are designed to provide security for devices ranging from smart-phones to PCs to core enterprise systems. Among its core competitors are Symantec, CA Technologies, IBM, Microsoft and Trend Micro.

"The cyber threat landscape has changed dramatically over the past few years, with millions of new threats appearing every month," said Dave DeWalt, McAfee's president and CEO, in a statement. "We believe this acquisition will result in our ability to deliver a safer, more secure and trusted Internet-enabled device experience."

The deal will close pending shareholder and regulatory approval.

About the Author

Jeffrey Schwartz is editor of Redmond magazine and also covers cloud computing for Virtualization Review's Cloud Report. In addition, he writes the Channeling the Cloud column for Redmond Channel Partner. Follow him on Twitter @JeffreySchwartz.

Featured

  • An image of planes flying around a globe

    2025 Microsoft Conference Calendar: For Partners, IT Pros and Developers

    Here's your guide to all the IT training sessions, partner meet-ups and annual Microsoft conferences you won't want to miss.

  • Microsoft Gives Orgs More Power to 'Tune' AI Agents

    At its Build 2025 conference this week, Microsoft unveiled significant advancements aimed at empowering enterprises to create more sophisticated AI agents.

  • Build 2025: Microsoft Charts Wider Path for AI Agents

    At Build 2025, Microsoft unveiled its strategic vision for the future of AI agents, emphasizing the development of autonomous systems capable of performing complex tasks across various applications.

  • Microsoft to Orgs: Ditch Your Passwords for Passkeys

    May marks the first-ever "World Passkey Day," the occasion of which Microsoft marked by leaning into its vision of a passwordless future.