Altera, a US programmable-chip company spun out of Intel, said it is growing about 20% a year, with operating income more than doubling as it prepares for a public listing.

The company became fully independent last September after Intel agreed to sell a 51% stake to Silver Lake for US$4.46 billion, valuing Altera at US$8.75 billion. Intel retained 49%.

Intel bought Altera in 2015 to expand into data centers and the internet of things, and said this year the partial sale would help it focus on its core business and strengthen its balance sheet.

Altera is targeting AI and robotics, where field-programmable gate arrays, or FPGAs, can be reprogrammed after manufacturing for specialized, low-latency processing at the edge.

Intel previously reported that Altera’s revenue fell to US$1.5 billion in 2024 from US$2.9 billion in 2023, partly because customers shifted spending to AI graphics processing units.

AMD-owned Xilinx is Altera’s largest competitor.

Chief executive Raghib Hussain said Altera has reduced its Intel transition service agreements from 125 to 15 and is developing products on Taiwan Semiconductor Manufacturing Co’s 2-nanometer and 3-nanometer technologies.

🔗 Source: Reuters