Intel announced Monday it has reached a definitive agreement to sell a 51% controlling stake in its Altera semiconductor division to private equity firm Silver Lake. The transaction values Altera at $8.75 billion and positions the semiconductor unit to become operationally independent going forward.
Following the deal, Intel will retain the remaining 49% ownership in Altera. Leadership will transition to Raghib Hussain, who is scheduled to succeed current CEO Sandra Rivera on May 5, 2025.
The sale is anticipated to close in the second half of 2025, subject to customary regulatory approvals and closing conditions, according to Intel’s statement.
Intel CEO Lip-Bu Tan emphasized that the strategic move aligns with the company’s broader objectives. “Today’s announcement reflects our commitment to sharpening our focus, lowering our expense structure, and strengthening our balance sheet,” he said. “Altera continues to make progress repositioning its product portfolio to participate in the fastest-growing and most profitable segments of the FPGA market.”
Established in 1983 by semiconductor industry veterans Rodney Smith, Robert Hartmann, James Sansbury, and Paul Newhagen, Altera has a long-standing reputation for developing programmable chip technology and associated software platforms, serving a wide range of industries including communications, artificial intelligence, and robotics.
