Intel shares up to 18% of Cloudera holdings in big data companies

Http://www.aliyun.com/zixun/aggregation/13456.html, a big data software start-up, said >cloudera at a press conference this Monday Intel has increased its investment in Cloudera to $740 million, with a stake of 18% per cent. Intel announced in Thursday that it had invested a large sum of money in the Cloudera and had become the largest strategic shareholder of the latter.

Cloudera is expected to apply for an IPO this year, and the Intel stake in the Cloudera is valued at about $4.1 billion trillion.

At a press conference in Monday, Cloudera announced that the company had completed 900 million of billions of dollars in funding, including last week's investment in Intel and the 160 million dollars it had raised from Trowe Price, Google Ventures and other investors.

Intel said in Thursday that the stake in Cloudera was the largest data center technology investment in the company's history, and that the equity investment would make it the Cloudera's largest single strategic shareholder. Under the agreement, Intel will receive a Cloudera board seat. After becoming the Cloudera's largest strategic shareholder, Intel will promote the Cloudera's Hadoop open source system solution and replace the Cloudera Hadoop solution with its earlier integrated data solutions on server products.

Cloudera is just one of several Silicon Valley start-ups that have recently received a billions of dollar valuation of investors, and Wall Street has long expressed concern about the inflated valuations that tech start-ups have acquired.

Intel has been encouraging more companies to enter the big data analysis market, and hopes to increase sales of its high-end Xeon server chips. Intel believes that using the Cloudera version of Hadoop can achieve faster sales growth targets.

As Intel's core PC market shrinks, server business is becoming a major source of profits for the company. However, the recent increase in Intel's server business has been lower than expected.

Large data is an important part of the Internet of things, and finding ways to analyze and leverage large data will be the next major growth opportunity for the world's largest IT companies, including Intel.

The global market for big data technology and services is expected to reach $32 billion trillion in 2017, according to statistics published by IDC, the market-research firm, and the average annual increase in revenues is expected to be 27%.

Intel has been left behind by rivals in the two big chips markets for smartphones and tablets, so the company is particularly keen to become the market leader in the Internet by producing specialized processors for new equipment and processors for data-processing servers.

Intel's bet on Cloudera also shows from the side that the company's previous large investment in data center technology has not been well received, and in 2007 Intel invested $218 million in VMware and gained a 2.5% per cent stake in the data center software manufacturer.