Intel has bought NetEffect, a network connectivity vendor that focuses on technology for server clusters, for US$8 million (NZ$13 million).
NetEffect's products include 1 Gigabit and 10 Gigabit Ethernet (GbE) adapters for servers and blade configurations, as well as 10 GbE Application Specific Integrated Circuits (ASICs).
"The combination of Intel and NetEffect technology will allow Intel to address our customers' most important 10 Gigabit Ethernet needs, including server virtualisation, convergence of network and storage traffic, and server compute clusters," says Tom Swinford, a general manager at Intel.
NetEffect, which has 30 employees and is based in Austin, Texas, was founded in 1998 as Banderacom. It was renamed NetEffect in 2004.