Intel, Swiss company may sell memory units

Intel Corp., the world’s largest computer chip maker, and STMicroelectronics are in advanced talks to sell their memory businesses to a private equity firm, an analyst said.

The combined operation would be valued at slightly less than its $3 billion in annual sales, American Technology analyst Doug Freedman said in a note to investors. Freedman said he didn’t know the identity of the potential buyer.

Intel in May separated memory chip production from other operations, signaling that the company was preparing to jettison the unit. The Santa Clara, Calif.-based chip maker has been shedding less profitable units to help save $1 billion in annual costs. STMicroelectronics is based in Geneva.