Intel’s Venture Arm to Go Solo By Elets News Network - 15 January 2025

Intel Corporation

Intel Corporation announced that it will separate its venture capital arm, Intel Capital, into an independent company. Intel will remain an anchor investor in the new company, which is expected to begin operations in the second half of 2025 under a new name. The current Intel Capital team will move to the independent company.

David Zinsner, Intel’s interim co-CEO and CFO, said the separation allows Intel Capital to access new funding sources while continuing its strategic partnership with Intel. Intel Capital manages $5 billion in assets and invests in companies working in silicon, frontier technology, devices, and cloud.


Intel Capital was created in 1991 as a corporate venture capital fund. It became a model that other companies, such as Google, Microsoft, and BMW, later followed. Earlier on Tuesday, Intel Capital was part of a funding round for Orchid Security, a startup focused on identity security, which raised $36 million.

The separation of Intel Capital is part of Intel’s ongoing efforts to simplify its business and reduce costs. The company has faced challenges in recent years, including market share losses and a poor stock market performance in 2023, its worst since becoming a public company in 1971.

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Intel has also been restructuring its operations. The company is spinning off Altera, a division that makes FPGA chips, with plans to make it a public company. Intel also holds a majority stake in Mobileye, a company focused on self-driving technology. Intel has taken steps to give its foundry business greater independence, including forming a board for the unit.

Under its previous CEO, Pat Gelsinger, Intel sold or shut down several smaller divisions. It also reduced its workforce as part of cost-cutting plans. Gelsinger left the company in December 2023 and was replaced by interim co-CEOs David Zinsner and Michelle Holthaus. Intel Capital’s independence will allow it to raise funds from external sources and expand its investments.

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