The 451 Group’s Take on the Intel-Cray Deal

Print Friendly, PDF & Email
Cray Completes Sale of Interconnect Hardware Assets to Intel

On May 2, 2012, global supercomputer leader Cray Inc. (NASDAQ: CRAY) announced it had completed the previously announced transaction to sell its interconnect hardware development program and related intellectual property to Intel Corporation (NASDAQ: INTC) for $140 million in cash. The agreement was originally announced on April 24, 2012.

The 451 Group has granted permission to The Exascale Report to reprint and distribute its take on this deal as prepared by analysts John Abbott and John Barr on April 25, 2012.

Cray feels that it won’t be able to compete on hardware development as this integration process gathers momentum. System software that optimizes these integrated interconnects will be the crucial element in the future, Cray says, and it will continue to work in that area, optimizing for its own interconnects and for those built by others.”

Download the 451 Group brief here * For related stories, visit The Exascale Report Archives.