Intel IoT ambitions hit by Wind River sale
Chip giant Intel is selling its Wind River subsidiary to private investment firm TPG, nine years after buying it to boost its mobile and IoT efforts.
April 4, 2018
Chip giant Intel is selling its Wind River subsidiary to private investment firm TPG, nine years after buying it to boost its mobile and IoT efforts.
Wind River has a long history in embedded software, which encouraged Intel to drop $884 million on it back in 2009. The stated rationale at the time was to help Intel in its efforts to diversify beyond the PC and server markets and came at a time when Intel still thought it could take on the ARM ecosystem in embedded processors.
“Wind River is a leading software vendor in embedded devices, and is part of Intel’s strategy to grow its processor and software presence outside the traditional PC and server market segments into embedded systems and mobile handheld devices,” said Intel when it completed the acquisition. “Embedded systems and mobile devices include smart phones, mobile Internet devices, other consumer electronics (CE) devices, in-car “info-tainment” systems and other automotive areas, networking equipment, aerospace and defense, energy and thousands of other devices.”
A decade and billions of dollars have produced very little ROI for Intel in the embedded processor market, although it’s still hoping to have a significant piece of the 5G pie via modem subsidiary Infineon, which it acquired a year or so after Wind River. The latter more recently got incorporated into Intel’s broader IoT efforts, but even that clearly didn’t pay off.