(Reuters) - Chipmaker Intel Corp said on Tuesday that it will separate its venture capital and investment arm, Intel Capital, into a standalone company, to focus on enhancing efficiency across the business.

Intel ( INTC ), which will remain an anchor investor, said the standalone operations are expected to begin in the second half of 2025 and will have a new name. The existing Intel Capital team will move to the new company.

Intel Capital's separation is a "win-win scenario as it provides the fund with access to new sources of capital to expand its franchise while allowing both companies to continue benefiting from a productive long-term strategic partnership," said David Zinsner, Intel's ( INTC ) interim co-chief executive officer and CFO.

Established in 1991, Intel Capital has over $5 billion in assets under management and invests in companies across four areas of the tech ecosystem: silicon, frontier, devices and cloud.

Earlier today, identity security startup Orchid Security said it had raised $36 million in an early-stage funding round led by Intel Capital and Team8.