Intel has entered into a definitive agreement with QLogic to acquire the product lines of certain assets related to its InfiniBand business, the two companies announced in separate press releases today. According to QLogic, it's an all-cash transaction in the amount of $125 million, a sum that would make some companies cringe but barely registers as a pittance to Intel, which recently announced record full year revenue of $54 billion.
The deal is intended to enhance Intel's networking portfolio and provide scalable high-performance computing (HPC) fabric technology as it aims to achieve ExaFLOP/s performance by 2018, or put another way, a quintillion computer operations per second, which is a hundred times faster today's top supercomputers.
"At the International Supercomputing Conference 2011, Intel unveiled a bold vision to redefine HPC performance and break the Exascale barrier by 2018," said Kirk Skaugen, vice president and general manager of Intel’s Data Center and Connected System Group. "The technology and expertise from QLogic provide important assets to provide the scalable system fabric needed to execute on this vision. Adding QLogic’s InfiniBand product line to our networking portfolio will bring increased options and exceptional value to our datacenter customers."
In addition to IP, a "significant number" of QLogic employees are expected to jump ship and join Intel, the Santa Clara chip maker said.