Intel is to acquire broadband access provider Lantiq to help expand its offering of gateway technologies for the connected home.
The company is seeking to broaden its existing residential gateway business to include technologies for the DSL, fibre, LTE and IoT smart router markets.
Lentiq, based in Germany, has more than 2000 patents in broadband technology including vectoring, G.Fast, fibre-to-the-distribution point (FTTdp) and GPON.
By acquiring Lentiq, Intel said it would have “a comprehensive range of connectivity solutions and home cloud technologies” at its disposal, which it could then target at original equipment manufacturers (OEMs) within the connected home sector.
Intel added it would also offer smart gateway and intelligent access technologies to operators alongside its IoT and security products, to help deliver “exciting new connected experiences”.
Kirk Skaugen, SVP and general manager of Intel's Client Computing Group, said: “By 2018, we expect more than 800 million broadband connected households worldwide.
“The combination of our cable gateway business with Lantiq's technology and talent can allow global service providers to introduce new home computing experiences and enable consumers to take advantage of a more smart and connected home."
Financial details about the acquisition were not disclosed. The transaction is expected to close in 90 days.
Dan Artusi, CEO of Lantiq, said: ”Intel and Lantiq share a common vision about the evolution of the connected home and the intelligent network. Together we can drive the transformation of the broadband customer premises equipment (CPE) as it becomes a smart gateway that connects an increasingly diverse roster of devices and services in the home."