ECHING, Germany -- Kontron, one of the world's leading suppliers of embedded computer systems, has finalized its announced acquisition of Intel’s® Communication Rackmount Server Operation. This means Kontron America Inc., a 100 percent Kontron subsidiary, based in San Diego, is now the owner of the business.

The Intel® carrier-grade rackmount and network server team mainly centered in Columbia, South Carolina, and Penang, Malaysia, includes various employees engaged in engineering, product development, product marketing, technical support and operations worldwide. Kontron’s management expects for 2009 revenue from this new acquisition of more than USD 40 million. This acquisition is considered a strategic opportunity and is expected to close shortly. This intact group in Intel®, with around 70 employees, has many years of expertise in world-class server technology, including high-density mechanical and electronic design, thermal and vibration analysis, and implementation of high-standards of secure and uninterruptible operations. To help ensure a continuous supply of products and a high-quality of support and services to Intel® customers, both Intel® and Kontron will work jointly in the transition period to provide a smooth and seamless hand-over of products, projects and customer and distributor relationships. Customers will also be backed by Kontron’s strong global presence and flexible supply chain capabilities, including a high-volume manufacturing services facility in Penang, Malaysia, and engineering and technical support services.

Kontron AG