Irish tech company is snapped up by Intel in £251m deal
The Irish computer chip design business Movidius is being bought by Intel in a deal that is expected to be worth more than €300m (£251m).
Movidius was founded in 2006 by David Moloney and Sean Mitchell. Its main activity is making chips that let machines 'see' and 'think' by giving them more power in smaller, unconnected units. That is now in massive demand, especially for use in unmanned drones.
After signing deals with Google, Lenovo and DJI, the Dublin company attracted the interest of other top-end tech firms that want to position themselves in the 'internet of things' sector.
Movidius chief executive Remi El-Ouzzane said: "I'm excited to announce the planned acquisition of Movidius by Intel.
"Movidius' mission is to give the power of sight to machines. As part of Intel, we will remain focused on this mission, but with the technology and the resources to innovate faster and execute at scale.
"We will continue to operate with the same eagerness to invent and the same customer-focused attitude that we're known for, and we will retain the Movidius talent and the start-up mentality that we have demonstrated over the years."
Last year, Google said that it would use Movidius's technology as part of its own 3D-mapping platform. The move means that Movidius chips could form part of a much wider adoption among phone and mobile device makers.
The deal comes as new figures show corporate deal-making slumped UK-wide in the run-up to the Brexit vote.
The Office for National Statistics (ONS) said there was a 54% slump in successful £1m or more mergers and acquisitions between April and June, with 87 deals involving UK companies worth around £14bn.
It marks a sharp decline on the 190 deals completed in the first three months of the year valued at £69bn, which the ONS said was "unusually high".
The second quarter figures also show a 34% drop in deals and mark the latest sign that activity was hit by Brexit jitters.
Foreign deals with UK firms were their lowest for three years in the second quarter, with 20 deals, compared with 52 between January and March.