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

  • Windows 365 Cloud Apps Now Available for Public Preview

    Microsoft announced this week that Windows 365 Cloud Apps are now available for public preview. This aims to allow IT administrators to stream individual Windows applications from the cloud, removing the need to assign Cloud PCs to every user.

  • Report: Security Initiatives Can't Keep Pace with Cloud, AI Boom

    The increasingly fast adoption of hybrid, multicloud, and AI systems is easily outgrowing existing security measures, according to a recent global survey by the Cloud Security Alliance (CSA) and exposure management firm Tenable.

  • World Map Image

    Microsoft Taps Nebius in $17B AI Infrastructure Deal To Alleviate Cloud Strain

    Microsoft has signed a five-year, $17.4 billion agreement with Amsterdam-based Nebius Group to expand its AI computing capabilities through third-party GPU infrastructure.

  • Microsoft Brings Copilot AI Into Viva Engage

    Microsoft 365 Copilot in Viva Engage is now generally available, extending Copilot's AI-powered assistant capabilities deeper into the Viva platform.

Most   Popular