Intel snaps up NetEffect

Intel Corp. has acquired NetEffect Inc., a network connectivity company that focuses on technology for server clusters for $8 million, reports Computerworld.

The Santa Clara, Calif., chip maker said it is acquiring NetEffect's Ethernet product portfolio, intellectual property and technology. NetEffect's products include Gigabit Ethernet and 10 Gigabit Ethernet adapters for servers and blade configurations, as well as 10 Gigabit Ethernet Application Specific Integrated Circuits, Intel officials said.

"The combination of Intel and NetEffect technology will allow Intel to address our customers' most important 10 Gigabit Ethernet needs, including server virtualization, convergence of network and storage traffic, and server compute clusters," Tom Swinford, a general manager at Intel, said in a statement.

Thirty employees, primarily engineers, have joined the Intel team from NetEffect and will continue to be based in Austin, Texas.

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