Intel said today that it plans to acquire Wind River Systems, maker of software for embedded devices – think smartphones, other consumer electronics devices, in-car “info-tainment” systems, networking equipment and the likes- in a deal valued at approx. $884 million (or all outstanding Wind River common stock for $11.50 per share in cash). With the move, Intel aims to grow its processor and software presence outside the traditional PC and server market segments into embedded systems and mobile handheld devices, which it deems an important growth area for the company.

The acquisition is expected to close this summer, subject to certain regulatory approvals and other conditions specified in the definitive agreement, and will result in Wind River to become a full subsidiary of Intel under its Software and Services Group umbrella. Wind River has more than 1,600 employees and operations in more than 15 countries, and last reported annual revenues of $359.7 million.

Full release can be found here.