Intel announced on October 3 that it intends to spin off its Programmable Solutions Group (PSG) into an independent company and conduct an IPO for it within the next two to three years. PSG is expected to begin operating independently on January 1 next year, and Intel will continue to provide support. Intel expects to report PSG as an independent business unit when it releases its first-quarter 2024 financial results.
Intel pointed out that Sandra Rivera, head of the company's data center and chip business, will temporarily continue to be responsible for the daily operations of the programmable chip business, and the group will look for new candidates internally or externally to take over his work. Intel also said that its programmable chip business will still use Intel wafer fabs as its production base for the time being.
Intel announced in June 2015 that it would acquire FPGA manufacturer Altera for US$54 per share in cash, for a total of approximately US$16.7 billion in cash. After being incorporated into Intel, Altera exists as a business unit of PSG, and its business involves artificial intelligence (AI) applications. .
The chips under the PSG production line can be customized for different uses and compete with Nvidia and AMD. Intel revealed in its second quarter 2023 earnings call that its PSG business unit's revenue increased by 35% year-on-year, setting a record high for three consecutive quarters.
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