SANTA CLARA, CA – Intel has entered into a definitive agreement to acquire security giant McAfee – a deal executives say underscores the crucial importance of security to information technology, and represents a "fundamentally new approach involving software, hardware and services."
The merger will see Intel purchase all of McAfee's common stock at $48 per share in cash, for approximately $7.68 billion.
Both boards of directors have unanimously approved the deal, which is expected to close upon McAfee shareholder approval, regulatory clearances and other customary conditions.
Intel has a wide array of healthcare solutions, with a special focus on home health monitoring. These include the Intel Health Care Management Suite, which offers tools for providers to effectively manage their case loads and enables personalized care for patients with chronic conditions. Intel's Mobile Clinical Assistant improves access to patient information at the point of care, helping to reduce transcription and medication administration errors, enhance clinician workflows, and enable more informed decisions.
McAfee, similarly, has been providing targeted solutions for healthcare, with products to protect against data loss and malware, and prevent HIPAA violations. The company has a range of services that protect critical infrastructure, enable risk and vulnerability management, and help keep information and medical devices secure.
McAfee has enjoyed double-digit, year-over-year growth and nearly 80 percent gross margins last year. It will become a wholly-owned subsidiary of Intel, reporting into Intel's Software and Services Group.
That group is managed by Renee James, Intel senior vice president, and general manager, who noted that "hardware-enhanced security will lead to breakthroughs in effectively countering the increasingly sophisticated threats of today and tomorrow. This acquisition is consistent with our software and services strategy to deliver an outstanding computing experience in fast-growing business areas, especially around the move to wireless mobility."
"The addition of McAfee products and technologies into the Intel computing portfolio brings us incredibly talented people with a track record of delivering security innovations, products and services," added Paul Otellini, Intel president and CEO. "In the past, energy-efficient performance and connectivity have defined computing requirements. Looking forward, security will join those as a third pillar of what people demand from all computing experiences."
McAfee, based in Santa Clara and founded in 1987, is the world's largest dedicated security technology company with approximately $2 billion in revenue in 2009. With approximately 6,100 employees, McAfee's products and technologies deliver secure solutions and services to consumers, enterprises and governments around the world and include a strong sales force that works with a variety of customers.
"The cyber threat landscape has changed dramatically over the past few years, with millions of new threats appearing every month," said Dave DeWalt, president and CEO of McAfee. "We believe this acquisition will result in our ability to deliver a safer, more secure and trusted Internet-enabled device experience."
