Intel to Spin Off Programmable Solutions Business into Separate Company

Intel Corporation announced that it will spin off its programmable solutions unit into an independent business starting in January next year. This move sets the stage for a potential initial public offering (IPO) of this division within the next two to three years.

The spinoff is intended to enable the PSG business to “fully accelerate” its growth and enhance its competitiveness in the field of Field Programmable Gate Arrays (FPGA), which caters to a wide array of markets with pre-fabricated chips. Intel expressed its intention to conduct an IPO for PSG and may consider opportunities with private investors in the coming years.

Sandra Rivera, who is currently the executive vice president at Intel, will take on the role of CEO for the new PSG entity, while Shannon Poulin has been appointed as chief operating officer.

Following the announcement, Intel’s stock experienced a rise of more than 2% during after-hours trading.