GLOBAL - Intel defies economic downturn

Kimberly
04 June 2008

Tweet
Facebook
LinkedIn
Google plus
Send to

Despite the global credit meltdown and resultant sombre sentiment in the investment markets, Intel Capital has invested more than $60m across ten deals in the last couple of weeks.

"Backing away from investing (in difficult times) is a mistake - we have to keep driving technology forward," says Arvind Sodhani, executive vice president of Intel. The strategic investing arm of the firm announced eight of the investments on Tuesday at its ninth annual CEO Summit in San Francisco. At the same event last year, before the tide had turned on the markets, the investor declared just five deals.

The increase in deals highlights not only a bullish attitude in an otherwise bearish market, but also a real global outlook in technology, with the target companies being based in the US, Czech Republic, India, Malaysia and Bangladesh. They include: India-based Vriti Infocom (online education); Czech Republic-based Internet Mall (online retail); and several U.S.-based companies including Accertify (online security), TOA Technologies (workforce management software), Grid Net (energy efficiency, smart grid), HealthiNation (online health), Vostu (social networking with a Latin America focus) and Veoh Networks (online videos). Two additional deals were announced in the run-up to the event: an investment in Malaysia’s Green Packet to advance WiMAX and a joint business venture dedicated to social and economic development with Bangladesh-based Grameen.

Intel Capital has invested more than $7.5bn across 1,000 businesses in 45 countries since its inception in 1991. Nearly half have been exited: 168 listed on stock exchanges and 212 were acquired or took part in a merger.