November 27, 1996 5:30 PM ET
Intel takes out stake in MRV
By Margaret Kane

Firming up its foothold in the LAN hardware arena, Intel Corp. has purchased 200,000 shares of MRV Communications Inc., for $4 million, and obtained the right to buy 500,000 more shares. If Intel buys all of the available shares, it will own about 3 percent of the Chatsworth, Calif., company. Intel has already worked with MRV on LAN switching products, particularly MRV's MegaSwitch II workgroup switch. "We anticipate that this relationship will strengthen. Both sides have invested heavily to promote cooperation between the two companies, and both sides are very interested in promoting high-performance switching," said MRV CEO Noam Lotan. "This investment is only a step." Lotan said there are no plans for Intel to take a greater interest in the company beyond the additional 500,000 shares. MRV, which has about 340 people, had sales of $22 million in the third quarter, ended Sept. 30. Copyright(c) 1996 Ziff-Davis Publishing Company. All rights reserved. Reproduction in whole or in part in any form or medium without express written permission of Ziff-Davis Publishing Company is prohibited. PC Week and the PC Week logo are trademarks of Ziff-Davis Publishing Company. PC Week Online and the PC Week Online logo are trademarks of Ziff-Davis Publishing Company. Send mail to PC Week