Report: EU may delay Intel's McAfee acquisition

European regulators are looking closely at the deal and may launch an investigation, The Wall Street Journal reports

European regulators are looking closely at Intel's planned McAfee acquisition and may hold up the deal with an investigation, according to a report published Friday.

The European Union is concerned about Intel's plans to embed security features directly into its microprocessors, The Wall Street Journal reported, citing unnamed sources.

Intel supplies the bulk of the world's PC chips, and the EU is concerned that if McAfee has "privileged access" to the security features it could put other security vendors at an unfair disadvantage, the Journal said.

The EU's antitrust regulator has "privately expressed concerns" about the deal during its preliminary review and could decide to subject it to a more in-depth examination, the Journal said.

Intel spokesman Chuck Mulloy declined to comment beyond saying that Intel is "continuing to work with regulators as they conduct their reviews."

A McAfee spokesman pointed to an update on the merger status McAfee posted to its website Thursday, which makes no reference to any concerns at the EU.

"We are happy to announce that all required pre-close regulatory filings around the world have been made and the matter is now under review in those respective jurisdictions," the statement says. "We expect that the deal will close some time in the first half of 2011 but do not have any further details to share at this time."

An in-depth merger review can hold up a big acquisition by several months. The EU had competitive concerns about Oracle's acquisition of Sun, and Oracle had to wait four months after the EU began its investigation to close the deal.

When Intel announced the US$7.7 billion acquisition, it said it expected to close the deal in the first quarter of next year, or even by the end of 2010, the Journal noted. A statement on Intel's website says it now hopes to close the deal in the first half of 2011, the Journal reported.

Join the PC World newsletter!

Error: Please check your email address.

Tags business issuesantitrustmcafeeMergers / acquisitionssecuritylegalComponentsprocessorsintelantivirus

Our Back to Business guide highlights the best products for you to boost your productivity at home, on the road, at the office, or in the classroom.

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

James Niccolai

IDG News Service
Show Comments

Essentials

Lexar® JumpDrive® S57 USB 3.0 flash drive

Learn more >

Microsoft L5V-00027 Sculpt Ergonomic Keyboard Desktop

Learn more >

Mobile

Lexar® JumpDrive® S45 USB 3.0 flash drive 

Learn more >

Exec

Audio-Technica ATH-ANC70 Noise Cancelling Headphones

Learn more >

HD Pan/Tilt Wi-Fi Camera with Night Vision NC450

Learn more >

Lexar® JumpDrive® C20c USB Type-C flash drive 

Learn more >

Lexar® Professional 1800x microSDHC™/microSDXC™ UHS-II cards 

Learn more >

Budget

Back To Business Guide

Click for more ›

Most Popular Reviews

Latest News Articles

Resources

PCW Evaluation Team

Michael Hargreaves

Windows 10 for Business / Dell XPS

I’d happily recommend this touchscreen laptop and Windows 10 as a great way to get serious work done at a desk or on the road.

Aysha Strobbe

Windows 10 / HP Spectre

Ultimately, I think the Windows 10 environment is excellent for me as it caters for so many different uses. The inclusion of the Xbox app is also great for when you need some downtime too!

Mark Escubio

Windows 10 / Lenovo Yoga

For me, the Xbox Play Anywhere is a great new feature as it allows you to play your current Xbox games with higher resolutions and better graphics without forking out extra cash for another copy. Although available titles are still scarce, but I’m sure it will grow in time.

Kathy Cassidy

STYLISTIC Q702

First impression on unpacking the Q702 test unit was the solid feel and clean, minimalist styling.

Anthony Grifoni

STYLISTIC Q572

For work use, Microsoft Word and Excel programs pre-installed on the device are adequate for preparing short documents.

Featured Content

Latest Jobs

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?