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Intel Corp acquires Egyptian mobile software firm SySDSoft

Industry Sector



15 March 2011


Mike King

Type of News

Mergers & Acquisitions

Intel Corporation, the world's largest semiconductor chip maker, has agreed to acquire Egyptian software firm SySDSoft for an undisclosed amount. It is believed that Intel will acquire most of the Cairo-based company's assets, and recruit around 100 of its computer scientists and electrical engineers.

SySDSoft specialises in the development of software that helps mobile devices connect to wireless networks. These include technologies such as Wi-Fi, Bluetooth and Wireless USB. Prior to this acquisition, SySDSoft had made a name for itself by developing networking stacks for next-generation mobile networks including Long Term Evolution (LTE).

Head of Intel Mobile Communications, Hermann Eul, said in a statement, "Intel is making the necessary investments to further enhance its world-class wireless product portfolio and to offer the most reliable platforms to our customers that will work seamlessly across a range of global networks."

Sam Al Schamma, Intel's general manager for the GCC (Gulf Cooperation Council) added that Intel had been licensing SySDSoft's technology for a number of years. "This is IP technology we wanted to make sure we could keep and maintain." Asked if he had any concerns about acquiring an Egyptian company given the world events of the past few months, Al Schamma seemed relaxed. "It was very easy for them to get past those concerns. This is a good example of how this region is just as attractive as anywhere else in the world, despite what's happening here."

Analysts suggest that the acquisition is designed to show that Intel is serious about becoming a major player in the mobile industry, with its low-power Atom processor line.

Author: Alex De Angelis, Analyst

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