Intel (INTC) has contemplated selling its network and edge businesses, Reuters reported Tuesday, citing three sources familiar with the matter.
The chipmaker is considering a potential sale because the businesses in its former NEX group no longer seem relevant to the focus that Chief Executive Lip-Bu Tan has adopted for the company, two sources told the news agency. The unit will no longer help Intel's core strategy, Reuters reported, citing a source.
The company may sell its networking business because Broadcom (AVGO) and other firms have a tight grip on key parts of that market, according to the report.
Intel has not yet launched a formal deal process for the unit, or solicited bidders, Reuters reported, citing two sources.
The company recently interviewed investment bankers to pick an adviser for the sales process, though it has not yet hired a banker, according to the report.
Intel didn't immediately respond to MT Newswires' request for comment.
(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.