Intel has entered into a definitive agreement to acquire Wind River Systems Incfor approximately $884 million. Wind River is a software vendor in embedded devices.
Wind River will become a wholly owned subsidiary of Intel and continue with its current business model of supplying products and services to its customers worldwide.
"This acquisition will bring us complementary, market-leading software assets and an incredibly talented group of people to help us continue to grow our embedded systems and mobile device capabilities," said Renee James, Intel vice president and general manager of the company's Software and Services Group. "Wind River has thousands of customers in a wide range of markets, and now both companies will be better positioned to meet growth opportunities in these areas."
"Our combination of strengths will be of great benefit to Wind River's existing and future customers," said Ken Klein, Wind River Chairman, president and CEO. "As a wholly owned subsidiary, Wind River will more tightly align its software expertise to Intel's platforms to speed the pace of progress and software innovation. We remain committed to continuing to provide leading solutions across multiple hardware architectures and delivering the same world-class support to which our customers have grown accustomed."
The acquisition will deliver to Intel robust software capabilities in embedded systems and mobile devices, both important growth areas for the company. Embedded systems and mobile devices include smart phones, mobile Internet devices, other consumer electronics (CE) devices, in-car "info-tainment" systems and other automotive areas, networking equipment, aerospace and defense, energy and thousands of other devices.
The board of directors of Wind River has unanimously approved the transaction. It is expected to close this summer, subject to certain regulatory approvals and other conditions specified in the definitive agreement. Upon completion of the acquisition, Wind River will report into Intel's Software and Services Group, headed by Renee James.
As an Intel subsidiary, Wind River will continue to develop software platforms that support multiple hardware architectures that are optimized for the needs of its many embedded and mobile customers. The acquisition will boost Wind River's Intel-architecture focused sales as it gains access to the company's technology investments, brand, employees and global sales force.
Wind River develops operating systems, middleware (software found between an OS and software application), and software design tools for a variety of embedded computing systems. Its main products include VxWorks, the market-leading proprietary and multicore-ready real-time operating system, and commercial-grade Linux software platforms. The company also provides design services and software expertise, including custom-built solutions, development tools and device testing products.