Merging Of Intel And NetEffect

Intel has agreed to assume networking specialist NetEffect for $8m. The agreement will grant Intel full dominance over the assets and intellectual property rights of NetEffect, which specializes in adaptors for networking systems.

NetEffect’s products enable servers to link with 1Gb and 10Gb Ethernet connections. The company also produces iWARP, an Ethernet system designed as an alternative to Infiniband networks.

The company will keep all of its staff and continue to operate out of its Texas headquarters. They plan to use the acquisition to kickstart a line of network interface cards for servers and cluster systems.

NetEffect’s will be the data communications solution provider and its technology will enhance Intel’s current Ethernet efforts.

The merging of Intel and NetEffect technology will allow Intel to deal the clients’ most significant 10Gb Ethernet needs, including server virtualisation, convergence of network and storage traffic, and server compute clusters.

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