Intel is apparently in talks to sell off its Intel Media division to Verizon, according to an AllThingD report that cites unnamed sources familiar with the matter.
Over the last year, Intel has been working on a new set-top box that would run its own streaming media service. That streaming service has previously been said to include bundled TV channel packages and feature support from major TV networks — meaning it would somewhat compete with the traditional cable television model. To be honest, we don’t really know because Intel keeps stalling on its plans to announce more details on the device.
Last month, it was rumored that Intel was seeking to partner with other companies on the service and accompanying set-top box, but now it seems it wants an easy out via a sale of its entire media unit to Verizon. According to ATD’s sources, the two companies are in advanced negotiations to sell off the unit, but it’s unclear whether Verizon would take full control or allow Intel to keep part of it.
It wouldn’t be unheard of for Verizon to buy Intel Media, considering that the company already owns and operates its own cable TV service, Verizon FiOS TV. Verizon also previously started the joint venture with Outerwall (formerly Coinstar) that is Redbox Instant.