Intel has reached a deal to acquire Lantiq, a provider of silicon for broadband and home networking, a move that it says will accelerate its move into the growing home gateway and last mile access network markets.
The transaction is set to close in 90 days after meeting customary closing and regulatory approvals; terms were not disclosed.
By acquiring Lantiq, Intel said it would be able to expand its presence in the growing cable residential gateway market and broaden its offering to other gateway markets, including DSL, fiber, LTE, retail and IoT smart routers.
Intel has forecast that by 2018, there will be over 800 million broadband connected houses worldwide and its acquisition of Lantiq will help it become a larger supplier to service providers that are extending new broadband speeds and home automation services to consumers.
"The combination of our cable gateway business with Lantiq's technology and talent can allow global service providers to introduce new home computing experiences and enable consumers to take advantage of a more smart and connected home," said Kirk Skaugen, senior vice president and general manager of Intel's Client Computing Group, in a release.
The chipmaker is hardly alone in its home networking desires. Samsung publicly said all its appliances will be connected to the Internet, while Google purchased Nest last January, a signal that it wants to expand into the home automation market.
Another key element that Intel gains in acquiring Lantiq is its well-established customer base. To date, over 100 global service providers have deployed Lantiq's DSL solutions and it has over 2,000 patents related to broadband communications, as well as offering a host of DSL and fiber-based broadband technologies, including vectoring, G.fast and GPON.
- see the release
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