Intel is making a serious play into the truly embedded market with a $884m deal to buy real time operating system (RTOS) company Wind River Systems.
The board of directors of Wind River has unanimously approved the transaction which is expected to close this summer and then Wind River will report into Intel's Software and Services Group, headed by Renee James.
This is a key part of Intel's strategy to grow its processor and software presence outside the traditional PC and server market segments into embedded systems and mobile handheld devices, and Wind River is already a close partner with Intel, making use of its hardware virtualisation technology.
Wind River will become a wholly owned subsidiary of Intel and continue with its current business model.
"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 James at Intel. "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."
"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," said Ken Klein, Wind River Chairman, president and CEO. "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, from in-car "info-tainment" systems and other automotive areas, networking equipment, aerospace and defence to energy and thousands of other devices.