Archive · 26 Jul 2025
Intel to Spin Off Networking Unit, Seeking Investors
Intel, a major chip maker, is making changes to try and do better.
They plan to separate their networking unit into its own company and are looking for people to invest in it.
The new boss, Lip-Bu Tan, wants to make the company more efficient.
They are also making changes to make them more profitable.
Investors reacted negatively to Intel's plans, as shares fell by 9%.
Intel plans to spin off its networking unit into a standalone company.
New CEO Lip-Bu Tan is streamlining operations by shedding non-core assets.
The company will seek investors for the networking and communications unit.
Intel's shares dropped 9% after warning of exiting chip manufacturing without a major customer.
The networking unit generated $5.8 billion in revenue in 2024, about 11% of Intel's total sales.
- Who
- Intel, under CEO Lip-Bu Tan.
- What
- Intel plans to spin off its networking and communications unit.
- When
- Announced on Friday, July 26
- Where
- No specific location mentioned.
- Why
- To streamline operations and rejuvenate the chipmaker.
- CEO
- Lip-Bu Tan
- Networking Unit Revenue (2024)
- $5.8 billion
- Networking Unit Revenue Percentage of Total Sales
- 11%
- Share Drop (Friday)
- 9%
