NEW YORK, Aug. 19 (UPI) -- Intel Corp., the world's largest electronic chipmaker, Thursday said it was acquiring McAfee, the security software-maker, for $7.68 billion.
Intel will pay about $48 cash for each McAfee share, a 60 percent premium to Wednesday's closing price.
"With the rapid expansion of growth across a vast array of Internet-connected devices, more and more of the elements of our lives have moved online," said Paul Otellini, Intel president and chief executive officer, in a statement. "In the past, energy-efficient performance and connectivity have defined computing requirements. Looking forward, security will join those as a third pillar of what people demand from all computing experiences."
The announcement came just days after the Santa Clara, Calif. tech giant agreed to buy Texas Instruments' cable modem product line, CNN/Money said.
The purchase of McAfee acknowledges that security software has become an integral part of the industry and will make Intel more competitive in wireless communications technology.
"Given (Intel's) position in the ecosystem, it behooves them to have the expertise and domain knowledge in all three key vectors (energy efficiency, connectivity and security)," Ashok Kumar, an analyst for Rodman & Renshaw told CNN/Money.
The deal must be approved by government regulators and the boards and shareholders of both companies.