Avago sells LSI's networking business to Intel
Avago Technologies, which develops analogue semiconductor devices with a focus on III-V and mixed signal CMOS products, is selling LSI's Axxia Networking Business and related assets to Intel for $650 million in cash.
Avago is divesting of the Axxia business following its recent acquisition of LSI. The Axxia networking part of LSI includes multicore communication processors for enterprise and mobile networks. It generated revenues of $113 million in calendar 2013 and employs approximately 650 people.
The transaction, which has been approved by the boards of directors for both Avago and Intel, is expected to close in the fourth calendar quarter of 2014 upon satisfaction of government approvals and customary closing conditions.