Intel Corp said it would buy security software maker McAfee for $7.7 billion to capitalise on rising demand from consumers for better protection of their laptops, smartphones and tablets. Intel will pay $48 per share in cash for McAfee in its biggest acquisition ever. The price represents a 60 per cent premium to McAfee's Wednesday closing price -- a level company executives defended as within the range of other large software and security deals. The pact is the latest in a steady stream of technology deals, including Dell's $1.3 billion purchase of storage company 3PAR earlier this week. The McAfee deal, which caught some analysts by surprise and worried others because it marries a chipmaker and a software maker, underscores Intel's determination to continue expanding beyond the PC market to hot businesses like mobile devices and smartphones. But for the moment, the biggest advantage in the deal may be Intel's ability to sell McAfee's software to PC customers. Intel supplies roughly 80 per cent of the microprocessors used in PCs.