In an effort to buffer themselves from large market fluctuations in the PC and server markets, Intel has purchased Wind River Systems, which specializes in embedded systems. The AP reports that this bold move by Intel is a nod to the rapidly evolving mobile platforms.
Although the systems chip manufacturing portion of Intel's business is extremely lucrative with an 80 percent share of the market it is prone to fluctuations in the fiercely competitive PC and server area. Moving to increase their portfolio and diversify their products with the recent acquisition signals a move to tighter integration between their hardware and embedded software.
Intel is an ambitious company that history shows is very keen on expanding into strategic markets that can leverage their engineering prowess. Some past acquisitions have been peppered with failures (telecom chips) but that has not stopped them from taking bold actions despite the economy. If they manage to pull off a well-integrated platform that can work with several of the major mobile operating systems and create something that can be in many form factors they will have a winner.
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