Intel Cuts Operating Expense After Altera Sale

Intel lowered its full-year 2025 adjusted operating expense target from $17 billion to $16.8 billion after selling off a 51% stake in Altera. The chipmaker revealed the new target in a regulatory filing, which also stated the $8.75 billion Altera deal closed on Friday, September 12.

To improve its bottom line, Intel announced in April that it was selling part of Altera to private equity company Silver Lake after paying close to $17 billion in 2015. Silver Lake’s majority stake in Altera gives it an equity value of about $3.3 billion, while Intel retained its 49% stake, according to the filing. Intel’s full-year 2026 operating expense target of $16 billion remains unchanged.

After taking over as CEO from Pat Gelsinger in March, Lip-Bu Tan is implementing cost-cutting measures, including workforce layoffs and tighter financial discipline. In August, US President Donald Trump struck a deal for a 10% equity stake in struggling chipmaker Intel, following a meeting with CEO Lip-Bu Tan the same month. Trump called for the immediate resignation of Tan before meeting with him.