Intel sells flash memory unit for $6m

Intel has sold its flash memory business to Boston-based PC card specialist, Centennial Technologies.

Centennial paid $6m in a cash plus stock deal - with $4.5m due upon "the occurrence of certain contingencies" - according to a company release. Intel will also take a 16 per cent stake in the company.

The acquisition gives Centennial Intel's PCMCIA card families (Series 2, Value series 100 and 200), and miniature card families (Series 100 and 200).

The flash memory card market is becoming important as devices such as PC cards and portable digital cameras and MP3 players proliferate, however, Intel's flash card business only has annual revenues of about $20m, and faces stiff competition from the likes of SanDisk, Sony and Toshiba.