Intel has announced plans to spin off its Programmable Solutions Group (PSG) into a separate company to increase agility and expand its customer base. Sandra Rivera, Intel’s deputy president, is expected to become the new CEO of this business starting from January 2024. The new company will then go public within 2-3 years.
Previously, Intel split off its autonomous driving business unit, Mobileye, into a standalone company, which went public last year. It is anticipated that PSG will follow a similar trajectory.
PSG, a business unit within Intel, primarily focuses on FPGA chips, which Intel acquired from Altera in 2015. These chips serve a diverse range of industries, including data centers, telecommunications, automotive, aerospace, and security. Additionally, PSG offers CPLD and ASIC products. Pat Gelsinger, CEO of Intel, stated that separating the FPGA business will bring clarity to Intel’s IFS business, which manufactures chips for external customers. This move aligns with the company’s main strategy.
TLDR: Intel plans to spin off its Programmable Solutions Group (PSG) into a separate company to enhance flexibility and expand its customer base, with Sandra Rivera serving as the new CEO. PSG primarily focuses on FPGA chips and this move aims to bring clarity to Intel’s manufacturing business.