Intel is As a first step to stabilizing a company, its majority stake in Chip-Maker Altera is the first step to stabilizing a company. The 51% stake was sold for $4.46 billion today and is expected to end in the second half of this year. “Today’s announcement reflects our commitment to increase focus, reduce our fee structure and strengthen our balance sheet,” CEO Lip-bu Tan said of the deal.
Altera makes field-programmable gate array chips commonly used to power retro gaming hardware, e.g. Console. The company’s other products offer applications ranging from the military to the telecommunications sector. Intel Altera received $16.7 billion in 2015, meaning that the current valuation has been diving since its purchase. However, the sale should still provide Intel with some cash flow at a critical moment.
Tan Shi Intel’s CEO will become a senior executive in March when Pat Gelsinger leaves. He is expected to help the company change courses Intel seems likely to simplify its business when deciding bad decisions and appointments begin.
