Dialog Semiconductor plc has a signed an agreement to acquire the mobile communication product line of Silicon Motion Technology Corp.
The deal will expand Dialog’s internet of things (IoT) portfolio to include ultra-low-power Wi-Fi system-on-chips (SoCs) and modules, mobile television SoCs, mobile communication transceiver ICs and SoCs for smartphones, tablets and portable navigation devices (PNDs). The product line will be branded under Dialog as FCI.
The deal will give Dialog the ability to create a combination of solutions based on Bluetooth Low Energy (BLE) and ultra-low-power Wi-Fi devices. The products are targeted at battery-powered IoT devices that can directly connect to internet access points (APs) while providing banking grade security.
Additionally, the acquisition will bring Dialog a range of new technologies in the RF wireless communications market for cellular 4G and 5G, narrowband IoT transceiver, power amplifiers and deep sub-micron chip design.
The mobile communications product line of Silicon Motion reports about $30 million in revenue in 2018 with sales primarily generated from its mobile TV SoCs. Dialog said it will fund the deal with $45 million in an all-cash transaction.