- Intel confirms plans to keep its NEX business in-house
- The company sought buyers in July 2025
- NEX is key to its AI, data center and edge strategy
Intel has reportedly changed its mind about selling its networking and communications unit (NEX) after previously exploring strategic options such as a sale or a spin-off.
The American chipmaker has decided that greater long-term value will come from selling products and platforms – rather than divesting the business.
By keeping the NEX device in-house, Intel will have tighter control over silicon, software and systems — ultimately benefiting its AI, data center and edge offerings.
After all, Intel wants to keep its NEX business
Earlier in July, we reported that Intel was seeking buyers for its NEX business as part of its profitability plans. “We plan to establish key elements of our networking and communications business as a standalone company,” an Intel spokesman said at the time.
In fiscal 2024, NEX accounted for about 11% of Intel’s total revenue (or $5.8 billion of the $53.1 billion it earned in the 12-month period).
Despite slow growth, the unit is now considered a key asset in the company’s portfolio.
“After a thorough review of strategic options for NEX — including a potential stand-alone path — we determined that the company is best positioned to succeed within Intel,” the company said (via Pakinomist).
“Keeping NEX in-house enables tighter integration between silicon, software and systems, strengthening customer offerings across AI, data center and edge.”
In recent months, however, Intel’s financial position has improved drastically. It traded about 10% of the company for about $8.9 billion from the US government. $2 billion and $5 billion investments from SoftBank and Nvidia have also been crucial.
Intel stock is up 102% year to date.
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