The Intel Capital China Technology Fund will be spent on hardware, software and services that may spur computer use, such as the build out of China’s internet infrastructure. Cellular communications, consumer broadband applications and semiconductor design are among initial focus areas.
We will invest in Chinese companies to accelerate technology adoption locally and to foster development of innovative technologies with potential for global distribution, said Intel chief executive Paul Otellini, in a statement.
Intel Capital, one of the world’s largest venture capitalists, already has invested in nearly 50 companies in China since 1998. Eleven of these companies have since gone public or have been acquired.
Among Intel Capital investments in China are BCD Semiconductor Manufacturing, an analog power integrated circuit design and manufacturing company and Comlent Holdings, a radio frequency chipmaker.
Companies around the world should look beyond China’s purchasing power and view the country’s innovators as potential suppliers, said Intel Capital president Arvind Sodhani.
Intel has more than 5,000 staff in China and has spent more than $1.3b in its R&D and chip-making factories there, as well as on local companies.
Intel Capital ploughed more than $130m into about 110 deals last year. About 40% of those investments were made outside the US.
