Intel pays $2.2bn for chip-maker
Friday 05 March 1999
The deal values Level One at $48.75 a share, an 80 per cent premium to yesterday's closing price. The transaction is expected to be completed by the end of the second quarter.
Intel is pushing into the fast-growing market for chips used in networking equipment, and Level One makes chips with built-in communications features that are used by most large network equipment makers to reduce the cost of their kit.
Buying Level One gives Intel products for a part of the chip industry that is growing faster than its traditional microprocessor market.
"This plays into everything Intel is trying to do," one analyst said.
"We're continuing to look for other acquisition candidates," said Intel chief executive Craig Barrett. "We are deadly serious about our networking- communications group."
The purchase of Level One, based in Sacramento, California, comes after Intel agreed to buy the Internet equipment maker, Shiva, for $185m in October.
Intel currently faces anti-trust charges by the US government, which will be heard in a trial starting next week. The Federal Trade Commission outlined its view of Intel's rise in a 50-page filing, arguing that the company had abused monopoly power and bullied three of its customers to maintain a stranglehold on its market.
- 1 Scottish independence: Ireland since 1919 is a lesson for Scotland in what a Yes vote means
- 2 Thailand deaths: Pair's bloodied bodies found naked on Koh Tao beach
- 3 Lego breaks out of the toy box and heads for the gallery
- 4 Julian Assange and Edward Snowden join piracy mogul Kim Dotcom’s political campaign in New Zealand
Thailand deaths: Pair's bloodied bodies found naked on Koh Tao beach
Jihadi John': MI5 may have identified Isis militant who killed David Haines but options limited
Russia freezes Ukraine into submission: Kiev admits country doesn't have enough fuel for winter
Scottish independence: Police will be on high alert on Friday whatever the result
David Haines beheading: David Cameron says Britain will hunt down Isis 'monsters' shown in video murdering aid worker
Daniele Watts: Django Unchained actress detained by Los Angeles police after being mistaken for a prostitute
The political class is doing what Hitler couldn’t – destroying Britain
Scottish independence: Nationalist leader Jim Sillars threatens pro-union companies with 'day of reckoning' after independence
Scottish independence: Yes campaign feels the heat as Alex Salmond's NHS claims come under furious attack
£23m Birmingham cycle scheme is attacked by Tory councillor for not catering to the elderly
Salmond accused of laughing off national debt with ‘what are they going to do: invade?’ joke
iJobs Money & Business
£20 - 24k + Benefits: Guru Careers: This is a great opportunity for an enthusi...
£280 - £320 per day: Ashdown Group: The Ashdown Group have been engaged by a l...
£400 - £450 Per Day: Clearwater People Solutions Ltd: **URGENT CONTRACT ROLE**...
£35000 - £38000 per annum + Benefits: Ashdown Group: Training Coordinator / Pl...