Intel Purchase Of Altera Key To Doubling Data Center Group And IoT Group Revenues

The last hurdle to closing the Altera sale was the China blessing (December 20). Intel now expects to complete the Altera purchase on December 28.

Intel's purchase of Altera IP (intellectual property) associated with FPGAs (Field Programmable Gate Array) is essential to meeting the needs of the telecom market.

Intel will be able to grow from $1.2 b to dominate the $18 billion telecom market using the combination of Intel processors, fabric, memory and Altera FPGAs.

Dominating the telecom data center business will allow Intel DCG (Data Center Group) to double its revenues from $15 billion-plus to over $30 billion in less than five years.

While the first use of FPGAs integrated into Intel processors will be in the Data Center, these will be followed by uses that increase the IoT addressable market by $11b.