After selling its communications and application processor business to Marvell for a purchase price of $600 million, it’s now time for Eicon to purchase Intel’s media and signaling division.
This moves comes as part of Intel’s plan to reduce costs and to focus on important things. The sale will enable Intel to focus its investments on its core communications and embedded businesses, including Intel Architecture and network processors, modular communications platforms and optical modules.
The media and signaling division at Intel was largely responsible for developing products that deal with voice and video communications, conferencing, VoIP and other IP products and all this will now go to Eicon. Intel’s media and signaling business includes all of the product lines from Intel’s Dialogic acquisition, as well as Host Media Processing (HMP) software and HMP-enabled blades. Intel’s complete line of SS7, PBX integration and gateway solutions are also included in the sale.
“This is a very exciting day for Eicon,” said Nick Jensen, Eicon Networks’ president and CEO. “Eicon’s and Intel’s media and signaling products complement each other well. We expect this acquisition to extend our global reach with solutions for both traditional circuit switch communication technology and leading-edge IP platforms for both enterprises and service providers.”
“Intel is sharpening its focus on communications and embedded market segments that are aligned with our core businesses,” said Anthony Neal-Graves, general manager of Intel’s Modular Communications Platform Division. “The media and signaling business continues to present an attractive market opportunity, and these products will continue to be an important part of the Intel ecosystem. We will continue to collaborate with Eicon to ensure that customers have complete and competitive Intel Architecture-based solutions.”
Intel’s media and signaling business includes approximately 600 employees and Intel believes that most of the employees will be integrated into Eicon.
No financial terms were disclosed but I suspect that this move comes as a consequence of AMD buying ATI and becoming one big company.