- Intel confirms plans to keep its NEX business in-house
- The company was looking for buyers in July 2025
- NEX is key to your AI, data center and edge strategy
Intel has reportedly changed its mind regarding the sale of its Networks and Communications (NEX) unit after previously exploring strategic options such as a sale or a spin-off.
The American chipmaker has decided that the greatest long-term value will come from selling products and platforms, rather than divesting the business.
By keeping the NEX unit in-house, Intel will have tighter control over silicon, software and systems, ultimately benefiting its AI, data center and edge offerings.
Intel wants to keep its NEX business after all
In early July, we reported that Intel was looking for buyers for its NEX business as part of its profitability plans. “We plan to establish key elements of our networking and communications business as an independent company,” an Intel spokesperson said at the time.
In fiscal 2024, NEX accounted for about 11% of Intel's total revenue (or $5.8 billion of the $53.1 billion it earned in the 12-month period).
However, despite slow growth, the unit is now considered a key asset in the company's portfolio.
“After a thorough review of strategic options for NEX, including a potential independent path, we determined that the business is best positioned to succeed within Intel,” the company said (via Reuters).
“Keeping NEX in-house enables tighter integration between silicon, software and systems, strengthening customer offerings in AI, data center and edge.”
However, in recent months Intel's financial position has improved dramatically. He traded about 10% of the company for about $8.9 billion from the U.S. government. Investments of $2 billion and $5 billion from SoftBank and Nvidia have also been crucial.
Intel shares are up 102% so far this year.
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