The largest chip maker worldwide, Intel Corp. has announced that it will invest about $218.5 million in VMware Inc. This will mean for Intel becoming the owner of 2.5 percent of VMware’s outstanding shares, as well as a seat in VMware Inc.’s board of directors. Intel Corp. will pay $23 a share for 9.5 million Class A common shares in VMware Inc.

The investment is the start of a strategic relationship, as it is intended to speed the adoption of VMware Inc.’s software technology on computers that use Intel Corp.’s semiconductors. This agreement between the two important companies says also a lot about the growing importance of the “virtualization software”, which is a new concept on the computers’ market. VMware Inc. is the company that brought the concept to the mainstream.

The virtualization software concept refers to software allowing companies to run more than one operating system on their individual computers. That will mean boosting the companies’ productivity, but without increasing the overhead costs. Both VMware and Intel have said that they will develop and market together their products, while this investment is intended to increase the adoption of VMware’s software on the computers running Intel’s chips.

Because of the companies getting closer one to another through this investment the chipmaker will be able to make its chips work better with VMware’s virtualization software. On the other hand, VMware will benefit because Intel is the No. 1 chip maker worldwide, whose products are the core of an important number of calculating engines, servers and personal computers.

VMware has reported that the company expects to raise about $741.4 million from its initial public offering, after expenses. The company expects to sell 33 million Class A shares for $23 to $25 million per share.