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Amazon is now selling its own ARM-based chips

Israeli subsidiary announces Alpine line of semiconductors, one year after acquisition

An Israeli company acquired by Amazon last year has announced a new line of semiconductors, marking Amazon's first foray into the chipmaking market. The company, Annapurna Labs, announced its Alpine line of ARM-based processors on Wednesday, nearly a year after Amazon acquired it for a reported $350 million. The company says its chips are designed for Wi-Fi routers, media streaming devices, connected home products, and data storage gear, and that they've already been used in commercial products from Asus, Netgear, and Synology.

The Alpine chips carry up to four processors and various networking technology, which the company says will boost the performance of routers and home products that are currently limited in computing power. As Bloomberg reports, the chips are targeted more toward low-power devices for storage and networking, rather than the high-end server market currently dominated by Intel. Intel is the world's biggest supplier of PC chips and continues to command the market for data center computing, while ARM has a strong hold over the mobile market.

It's unclear whether Amazon plans to use Annapurna's technology for internal use, as it has in the past, or for its own home products. After acquiring robotics company Kiva Systems in 2012, Amazon used its technology to outfit its warehouses with a workforce of robots.