Intel, the giant chip company, is buying a German drone maker.
The move is part of Intel CEO Brian Krzanich's broader strategy to promote the use of Intel chips for new technologies - including drones, robots and a variety of sensor-equipped devices. This comes as sales decline for makers of personal computers, which are traditionally among Intel's biggest customers.
The German company, Ascending Technologies, already uses some Intel gear in its flying devices. At last year's CES gadget show in Las Vegas, Krzanich showed how Ascending Technologies is using Intel's RealSense three-dimensional optical sensors to help its drones navigate.
Intel has recently invested in several drone makers, including Ascending, China's Yuneec and California-based Airware.
Now Intel is buying Ascending outright. Intel wouldn't disclose the sales price, but says Ascending's 75 or so employees will be offered jobs at Intel.
Krzanich is scheduled to give the opening keynote at CES on Tuesday evening.
Separately, Steve Koenig, the Consumer Technology Association's director of market research, announced a grim forecast at the opening press briefing at CES - global technology spending is expected to decline 2 percent to $950 billion (roughly Rs. 63,26,763 crores) in 2016.
Blame falling prices for smartphones, TVs and laptops and weak economic growth in places like China. All that is putting a damper on growing categories like wearable fitness bands, smart home devices and drones.
Written with inputs from AP