Altera Becomes Independent from Intel, Expands FPGA Business

This week, Altera officially raised its own flag near its headquarters in San Jose, California, marking a significant milestone in its separation from Intel and its emergence as an independent company. Although Altera is now a standalone entity, it remains under Intel's ownership and will continue to focus on expanding its FPGA (Field-Programmable Gate Array) products with greater flexibility, while maintaining a strategic partnership with Intel.

"We are incredibly proud to raise the Altera flag today as we officially embark on our journey as an independent FPGA company," Altera stated in an announcement on X platform. "With agility and focus, we are excited to drive innovation and shape the future of next-generation FPGA technology."

FPGA technology is Altera's core expertise, providing a flexible solution that meets the rapidly evolving technological needs of industries without the high costs associated with ASIC (Application-Specific Integrated Circuit) development. Altera plans to strengthen its presence in mature industries such as automotive, communications, and aerospace, as well as in emerging fields like Artificial Intelligence (AI), cloud computing, edge technology, and 6G.

In the realm of AI, FPGAs offer exceptional advantages due to their flexibility, low costs for adding new instructions and data formats, and ability to support custom AI applications. FPGAs can also be used to simulate upcoming AI processors before they are integrated into silicon. Furthermore, Altera's FPGA AI Suite integrates with industry-standard frameworks such as TensorFlow and PyTorch, enabling developers to build optimized solutions that are compatible with leading technologies.

Although Altera is now independent, it will continue to work closely with Intel's foundries, utilizing competitive manufacturing nodes to produce its chips. This partnership ensures a reliable supply chain while providing Altera the freedom to explore other manufacturing options, expanding its production choices and maintaining a competitive edge. Should Altera's strategy succeed, a potential Initial Public Offering (IPO) could be on the horizon.

Intel initially acquired Altera for $16.7 billion in 2015, marking its largest acquisition at the time. The acquisition was aimed at diversifying Intel's revenue streams and potentially enhancing its position in the data center market. With Altera now an independent entity, Intel hopes the company will thrive, offering Altera the opportunity to secure additional funding during its IPO.

Altera will be led by CEO Sandra Rivera and Chief Operating Officer (COO) Shannon Poulin.