This is NOT good for RSYS, SELL!: Intel to Acquire Ziatech in $240 Million Transaction
8/14/0 8:33 (New York)
Business Editors/High-Tech Writers
SANTA CLARA, Calif.--(BUSINESS WIRE)--Aug. 14, 2000--Intel
Corporation today announced it has entered into a definitive agreement
to acquire privately held Ziatech Corporation in a cash transaction
valued at approximately $240 million. The acquisition enhances Intel's
presence in the rapidly growing market segment for communications
infrastructure products.
Based in San Luis Obispo, Calif., Ziatech designs and markets a
full range of Intel Architecture-based circuit boards, hardware
platforms and development systems. Ziatech products are primarily sold
to telecommunication equipment manufacturers who require flexible and
highly reliable equipment for their communications products.
"Our customers require advanced components to build extremely
reliable and fast networking and communications gear," said John
Miner, vice president and general manager, Intel's Communications
Products Group. "Intel will help telecommunication providers meet
their customers' rigorous networking requirements by incorporating
Ziatech's lineup of Intel Architecture-based computing building blocks
into our current portfolio of communications products."
The Ziatech acquisition supports and expands Intel's
Communications Products Group's ability to provide essential hardware
and software Internet building blocks for telecommunications and
networking. The acquisition provides Intel with a highly experienced
work force, engineering expertise and intellectual property that will
support Intel's business growth goals in the communications industry.
"The opportunities created by the rapid growth of the
communications market are enormous," said Ziatech Chairman Bert E.
Forbes. "Ziatech's focus on this market segment complements Intel's
experience so we can achieve our mutual goal of delivering Intel
Architecture-based computing products to our communications customers.
Together, we can assist these equipment manufacturers in being first
to market with next-generation technologies." Pending completion of
the acquisition -- which is subject to customary closing conditions,
including regulatory review -- Ziatech will become a wholly owned
subsidiary of Intel, and its approximately 200 employees will become
part of Intel's Communications Products Group.
Ziatech is a 24-year-old, privately held company that serves
customers such as Ericsson(a), Copper Mountain Networks(a), Nortel
Networks(a), Lucent Technologies(a), Marconi/Fore(a), Redback
Networks(a) and other communications and technology companies.
Ziatech is also a leading contributor to the CompactPCI(R)
specification, an increasingly important open standard for
high-performance voice and data communications applications. The
CompactPCI specification addresses the growing demand for increased
reliability and performance in Internet transactions and broadband and
wireless communications.
Intel, the world's largest chip maker, is also a leading
manufacturer of computer, networking and communications products.
Additional information about Intel is available at www.intel.com.
Note to Editors: (a) Third party marks and brands are property of
their respective holders.
This release contains forward-looking statements that are based
upon current expectations or beliefs, as well as a number of
assumptions about future events. The reader is cautioned not to put
undue reliance on these forward-looking statements, as they are
subject to numerous factors and uncertainties, including, without
limitation, business and economic conditions, growth of the Internet
and the computing and communications industries, as well as continued
technological advances, any of which may cause actual results to
differ materially from those described here. In addition to the
factors discussed above, other factors that could cause actual results
to differ materially are discussed in Intel's most recent Form 10-Q
and Form 10-K filings with the Securities and Exchange Commission. |
