Intel to buy Fulcrum Microsystems

Intel Corp. (NASDAQ:INTC) says it has agreed to acquire fables semiconductor vendor Fulcrum Microsystems Inc. for an undisclosed sum. The privately held company specializes in low-latency Ethernet switch silicon for data center network equipment.

Intel Corp. (NASDAQ:INTC) says it has agreed to acquire fables semiconductor vendor Fulcrum Microsystems Inc. for an undisclosed sum. The privately held company specializes in low-latency Ethernet switch silicon for data center network equipment (see “Fulcrum unveils 1 billion packet per second 10G/40G Ethernet switch chips” for an example).

Intel hopes to pair Fulcrum Microsystem’s FocalPoint 10- and 40-Gigabit Ethernet switch chips with its existing processor devices, such as the Xenon line, to expand its footprint in designs for data center, storage, and similar types of equipment.

“Intel is transforming from a leading server technology company to a comprehensive data center provider that offers computing, storage, and networking building blocks,” said Kirk Skaugen, Intel vice president and general manager, Data Center Group. “Fulcrum Microsystems’ switch silicon, already recognized for high performance and low latency, complements Intel’s leading processors and Ethernet controllers, and will deliver our customers new levels of performance and energy efficiency while improving their economics of cloud service delivery.”

“Customers in Web, financial services, technical, and high-performance computing market segments appreciate the performance advantages Arista offers with our Extensible Operating System combined with switches based on Fulcrum Microsystems silicon,” said Andy Bechtolsheim, founder, chief development officer, and chairman of Arista Networks. “Fulcrum Microsystems has architecture capabilities ideal for low-latency applications, and we are excited about the future possibilities of this technology as Fulcrum is acquired by Intel, the world’s largest semiconductor manufacturer.”

The agreement is subject to the approval of Fulcrum Microsystems shareholders, regulatory approval, and satisfaction of customary closing conditions. It is expected to close in the third quarter of 2011.

For more information on communications ICs and suppliers, visit the Lightwave Buyers Guide.

More in Business