Intel to Sell Internet TV Biz to Verizon
The chip maker has been looking to get rid of the OnCue platform since Brian Krzanich took over as CEO in May 2013.Intel is officially out of the Internet TV business. After months of predictions and rumors, Verizon Communications has agreed to buy Intel's OnCue cloud television unit, a business that had fallen out of favor after Brian Krzanich took over as CEO of the giant chip maker in May 2013. The two companies announced the deal Jan. 21, though no financial details were released. The acquisition is expected to close early in the first quarter. Verizon will get the intellectual property rights and all the technology that enables the OnCue Cloud TV platform, and will offer employment to the about 350 employees of the Intel Media division. Krzanich praised the innovative technologies developed by the Intel Media group, and said they will help Verizon as the wireless company looks to expand its reach. The deal also will enable Intel to continue focusing on areas that the CEO said is most important to the chip vendor.
"The critical factor in gaining efficient access to content is based on your ability to scale quickly in subscribers and end users, which is why selling these assets to Verizon makes perfect sense, with its millions of FiOS network and wireless customers," he said in a statement. "This sale also enables Intel to further align our focus and resources around advancing our broad computing product portfolio in segments ranging from the Internet-of-Things to data centers."