With the planned outsourcing of his Network and Edge Group (NEX), Intel takes another turning turn and wants to concentrate more on its core products in the future.
• Intel with restructuring
• Network and Edge Group (NEX) should be removed
• Looking for strategic investors
Intel also initiated a profound change of strategy last week as part of the balance sheet template. As communicated internally on July 25, 2025, the chip group is now planning to integrate its Network and Edge Group (NEX) as an independent company. According to reports from “CRN”, this decision affects products for communication, enterprise networking and Ethernet infrastructure and successes against the background to strengthen your own core products and to pursue a AI roadmap.
Ownership structure: Intel remains involved, but is looking for a partner
It is noteworthy that Intel wants to keep a significant participation in the new NEX company. However, as “CRN” reports, the group is actively looking for strategic and financial investors in order to support the growth of the bounded unit.
“We plan to establish key elements of our network and communication business as an independent company, and we have started identifying strategic investors,” says “CRN” in the internal memo of division manager Katti.
Intel with drastic measures – also with the staff
The announcement is made in a phase in which Intel fights with considerable challenges. Several little successful acquisitions of the past – including Barefoot Networks and the Qlogic InfiniBand division – had burdened the NEX business. Now management is drawn consequences.
In addition to the NEX outsourcing, Intel also announced further, extensive restructuring last week, which also includes personnel loss by around 15 percent. In addition, the plans for new locations in Germany and Poland were finally deleted. These radical steps underline how determined Intel wants to carry out the swivel to the AI market.
After the Intel share broke up by $ 8.53 percent to $ 20.70 on Friday by the end of the trade at the end of the trade, the paper in Monday trading is only slightly firmer and at times gains $ 20.72.
Editor finance.net
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