6 August 2018

Skyworks to acquire analog-system-on-chip designer Avnera

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Skyworks Solutions Inc of Woburn, MA, USA (which makes analog and mixed-signal semiconductors) has signed a definitive agreement to buy private fabless semiconductor supplier Avnera Corp of Beaverton, OR, USA, a developer of analog system on chips (ASoCs) since 2004, for $405m in cash plus up to an additional $20m if performance targets are exceeded over a 12-month post-closing period.

The transaction has been approved by both boards of directors and is expected to close by September. Excluding any non-recurring acquisition-related charges and amortization of intangibles, Skyworks expects the acquisition to be immediately accretive to diluted earnings per share.

The acquisition will augment Skyworks’ capabilities in wireless connectivity by adding ultra-low-power analog circuits to enable smart interfaces via acoustic signal processing, sensors and integrated software, expanding the firm’s addressable market by over $5bn. Target applications include AI speakers/microphones, virtual assistants, intelligent gaming controllers and vehicle in-dash systems as well as wired/wireless headsets.

“Voice is increasingly becoming the primary interface for artificial intelligence and Internet of Things applications. Skyworks’ acquisition of Avnera will enable us to capitalize on the rapid proliferation of audio functionality and its convergence with our advanced connectivity solutions,” says president & CEO Liam K. Griffin. “With Skyworks’ global sales channels, strong customer relationships and operational scale, we plan to leverage Avnera’s innovative product portfolio and systems expertise to increase our footprint in automotive, industrial, home automation, enterprise and high-end consumer markets. In short, this transaction perfectly complements Skyworks’ product roadmap and will be highly synergistic across a broader customer set,” he adds.

“We are extremely excited to be joining forces with Skyworks to offer customers complete system solutions for next-generation smart interface applications,” says Avnera’s chairman, president & CEO Manpreet Khaira. “Both companies share a vision of enabling ubiquitous, always-on communications through highly customized designs. Together, we can develop, deliver and rapidly scale audio products with unprecedented integration and performance for the increasingly connected wireless world.”

At the heart of Avnera’s system solutions are market-specific ASoCs that combine audio/voice analog circuits, highly efficient power management and custom hardware accelerators for smart acoustic signal processing/AI features. The ASoCs are claimed to achieve the highest level of integration in the industry and set a new benchmark for power consumption and footprint ─ underpinned by more than 100 issued and pending patents. Key customers include Harman, JBL, Panasonic, Philips, Pioneer, Polk, Samsung, Sennheiser, Sony, Vizio and Yamaha.

Tags: Skyworks

Visit: www.skyworksinc.com

Visit: www.avnera.com