Intel Capital has launched a $100m AppUp fund to invest in tools and services companies making "innovative applications and digital content" for mobiles and personal computers, which will be sold by Intel’s AppUp store.
The move by the unit of the US-based chipmaker is its latest use of corporate venturing to become a key player in the portable device market. Intel Capital also laid out similar plans to build an ecosystem for its parent company in August, when it launched a $300m Ultrabook fund, the personal computer market’s light-weight tablet, for which Intel is providing the chips.
Arvind Sodhani, president of Intel Capital, said Intel created a dedicated fund to do this rather than just invest in app companies as part of their regular venturing because it made a statement that Intel wanted to invest in this particular area.
Sodhani said the Ultrabook fund made a similar statement, as do their geographic funds, and that this has proven to be a successful strategy.
Sodhani added: "The explosion of connected computing devices has created tremendous opportunity for entrepreneurs to create and build businesses to meet the unprecedented demand for new and innovative computing applications and digital content. The Intel Capital AppUp Fund will help encourage the creation of companies interested in delivering or enabling applications that enhance and extend the online experience for the 15 billion devices expected to be connected by 2015."
Renée James, Intel senior vice president and general manager of the Software and Services Group, added: "The Intel Capital AppUp Fund further demonstrates Intel’s support of the mobile market segment, and creating exciting apps and digital content for Intel architecture is at the center of our AppUp efforts. The fund provides us with a great opportunity to continue innovating, while also engaging with some of the most promising companies to help drive future software technology."
With additional reporting by Toby Lewis.