Intel Capital to spend USD500m on Chinese startups

Wed Apr 9 2008, 12:33 PM

Intel Capital is setting up its second fund in China. Intel Capital China Technology Fund II will focus on startups, targeting wireless broadband, media, technology, telecoms and clean tech ventures that can complement and expand Intel's own efforts in China. The USD500m fund is already investing undisclosed sums in videogame platform provider Holdfast Online Technology and Newauto Video Technology, which develops equipment as well as network and editing solutions for TV stations.

Deal Details

Intel, which in 2005 spent USD200m to set up its first fund in China, is increasingly looking abroad for investments. Last year, foreign deals accounted for 37% of the total USD639m that it invested across the world - a figure which it expects to rise. The company claims to have invested in more than 70 companies across China and Hong Kong since 1998.

Earlier this week, Intel Capital Asia-Pacific said it would particularly look out for investments in mobile internet clients and WiMAX technology.