Intel Eyes Exit: Network and Edge Unit Under Strategic Review

Chipmaking giant Intel is reportedly considering the sale of its Network and Edge business unit—formerly known as the Next Group—as part of a broader strategic shift under its new CEO, Justin (Lip-Bu) Tan, according to multiple sources cited by Reuters.

The move is said to reflect Intel’s intent to refocus on its core strengths: personal computer chips and data center processors, areas where the company has traditionally held a dominant position.

While discussions are ongoing, no formal sale process has been initiated, and potential buyers have not yet been approached. Sources say Intel has only engaged with investment advisors to explore its options.

In 2024, the unit brought in $5.8 billion in revenue. However, Intel reportedly views the business as misaligned with its long-term strategic goals.

Earlier this year in April, Intel raised funds through a partial divestiture of its Altera unit, selling a significant stake to Silver Lake for $4.46 billion. The company had also spun off Mobileye, another major business segment, in a similar restructuring effort.

Intel is now aiming to streamline its operations by focusing on the business lines that have historically generated the most revenue.