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Intel buys into VMWare

Time: 15:53 EST/20:53 GMT | News Source: Ars Technica | Posted By: Michael Dragone

Intel and VMware announced today that Intel Capital is taking a $218.5 million stake in virtualization company VMWare. Intel will purchase 9.5 million Class A shares at $23 per share, which, at the completion of VMware's forthcoming IPO, will give Intel about a 2.5 percent stake in the company. Because VMware's stock is split between Class A shares, which have less voting power, and Class B shares, Intel won't control that many votes in the company, but they will get a board seat.

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