Intel Corp. on Tuesday announced that it has bought a Canadian company that makes processors used in building optical networking equipment.
Intel said that West Bay Semiconductor Inc.s line of networking chips focus on data speeds of 2.5 gigabits per second or less, which will complement Intels lineup of 10 gigabit-per-second chips.
Intel, of Santa Clara, Calif., also intends to combine West Bays technology with its own .09-micron manufacturing processes, which officials say could lead to optical networking chips that are less expensive and consume less power, leading to less costly networking equipment.
Most of the employees of West Bay, in Vancouver, will be folded into Intels Optical Products Group, which is part of the Intel Communications Group.
Intel declined to disclose financial details of the acquisition.