Intel Buys McAfee

Intel continues to acquire businesses and increase their market share outside of their core business. Consider something for one minute, what is the first thing that comes to mind when I mention Intel? I hesitate to think that the answer would be anything other than CPU’s. The Central Processing Unit handles the processes / instructions of software. It is arguably the most important part of any computer or notebook.

You need an anti-virus to ensure that your computer runs optimally. McAfee will operate as a subsidiary and will continue to provide security to both individuals and corporate clients. I think that Intel also had in mind that McAfee had an interest in providing security to smart phones. McAfee acquired 2 businesses (Trust Digital and TenCube) that focus on the new industry of mobile phone security software.

So you then need various other components to perform, to ensure that you have a functioning PC. The acquisition of McAfee, Intel underlines its strategy of seeing its operations as a holistic activity which covers many parts of the technology industry.

Intel says the “acquisition enables a combination of security software and hardware from one company to ultimately better protect consumers, corporations and governments as billions of devices – and the server and cloud networks that manage them – go online.”
Intel also partnered with Nokia earlier in the year on creating a mobile phone operating system.

This continues to paint a picture that Intel is making an effort  to become a bigger player in the technology industry. This could be a very good investment for Intel but the purchase price of $7.7 billion might be a cause of unhappiness for shareholders.