Intel eyeing at Mobility and Security Space by acquiring McAfee

In a move to focus on online security, chip giant Intel Corp. said on Thursday that it intends acquiring computer-security software maker McAfee Inc. for a sum of $7.68 billion. Explaining the rationale behind the deal, Intel said that security being a fundamental component of online computing, today's approach to security is not adequate for the growing availability of Internet connections on mobile phones, medical devices, ATMs, automobiles and elsewhere. According to Intel, the McAfee deal will help Intel create security software and hardware from a single company that better protects consumers, corporations and governments as billions of devices.Along with boosting Santa Clara-based Intel's security software chips and helping it grow beyond its traditional PC and server markets, the McAfee acquisition also fuels Intel's growing mobility strategy. "With the rapid expansion of growth across a vast array of Internet-connected devices, more and more of the elements of our lives have moved online," Intel CEO Paul Otellini said.

"In the past, energy-efficient performance and connectivity have defined computing requirements. Looking forward, security will join those as a third pillar of what people demand from all computing experiences." Otellini said the idea to acquire McAfee grew out of a close collaboration that has been going on for a year and a half, one that will result in unspecified products reaching the market next year.

Reacting to the buyout, Dave DeWalt, President & CEO of McAfee, stated, "The cyber threat landscape has changed dramatically over the past few years, with millions of new threats appearing every month. We believe this acquisition will result in our ability to deliver a safer, more secure and trusted Internet-enabled device experience."