Intel shifts media and signalling division

By Alun Williams

Posted on 10 Aug 2006 at 12:08

Intel is disposing of its media and signalling business, with the chip giant entering into an agreement with Eicon Networks.

Eicon is hoping the deal will establish it as the leading player in the media processing and signalling market segment, while Intel says it will focus on its 'core' businesses. Note that these will still include network processors and communications platforms and optical modules, as well as the cores of microprocessors.

Full details of the deal, which will be closed within four weeks, have not been revealed.

What Eicon is getting is all of the product lines from Intel's Dialogic acquisition, Host Media Processing (HMP) software and HMP-enabled blades. Intel's complete line of SS7, PBX integration and gateway systems are also included.

'Intel is sharpening its focus on communications and embedded market segments that are aligned with our core businesses,' said Anthony Neal-Graves, general manager of Intel's Modular Communications Platform Division. 'The media and signaling business continues to present an attractive market opportunity, and these products will continue to be an important part of the Intel ecosystem. We will continue to collaborate with Eicon to ensure that customers have complete and competitive Intel Architecture-based solutions.'

The two companies say they will continue to work closely together as part of Intel Communication Alliance.

It was only back in June that Intel sold the business unit responsible for its Xscale range of processors to the Marvell Technology Group. It sold the unit for $600 million in cash although it had the option to take $100 million of the sale price in Marvell shares. The communications and application processor division currently employed around 1,400 people, whereas the media and signaling business involves 600 employees.