NVIDIA , an organization once focused entirely on giant graphics cards for home computers, has already quite successfully re-positioned itself as a player within the mobile graphics world. Now it’s poised to essentially shake things up, announcing the purchase of Icera. The united kingdom-based company you’ve probably never heard of has a line of on 3G and 4G baseband processors utilized in wireless devices and USB modems — chips which are said to be smaller, more flexible, and more efficient than the contest from Qualcomm and ST-Ericsson . Icera seems to were focused heavily on LTE of late, which puts NVIDIA in a very good place not to only manage what happens to the information when its inside your next-gen phone or tablet, but to also control just the way it gets there inside the first place. A future Tegra SoC that handles wireless data too? Color us intrigued.
SANTA CLARA, CA–(Marketwire – 05/09/11) – NVIDIA announced today that it has agreed to accumulate Icera, a number one innovator of top-performing baseband processors for 3G and 4G cellular phones and tablets.
Icera has greater than 550 patents granted or pending worldwide, and its high speed wireless-modem products were approved by greater than 50 carriers around the globe. By combining the companies’ products and technologies, including NVIDIA’s Tegra processor, NVIDIA will enhance its position as a number one player within the growing mobile market.
The purchase, for $367 million in cash, have been approved by both companies’ boards of directors and is predicted to be completed, subject to customary closing conditions, in approximately 30 days. The transaction is predicted to be slightly dilutive on an operating basis in the course of the first 1/2 calendar 2012, and accretive on an operating basis inside the second 1/2 calendar 2012. This expectation doesn’t remember significant revenue synergies that the corporations anticipate.
By offering both main processors utilized in smartphones (the appliance processor and baseband processor), the combined company might help OEM customers both improve their time to market and deliver the necessities of next-generation mobile computing. NVIDIA may even have approximately doubled its revenue opportunity within each device.
The marketplace for baseband processors is probably the fastest growing segments of the technology industry, worth an estimated $15 billion a year. Icera may be ready to leverage NVIDIA’s momentum within the smartphone and tablet markets to capitalize in this growth.
CEO Quotes
“It is a key step in NVIDIA’s plans to be a serious player within the mobile computing revolution,” said Jen-Hsun Huang, President and CEO of NVIDIA. “Adding Icera’s technology to Tegra gives us an excellent platform to support the industry’s best phones and tablets.
“Icera is an ideal fit for NVIDIA. Our businesses are complementary. Icera has the appropriate team, with a robust, proven track record. And their nimble, entrepreneurial, engineering-focused culture mirrors our own,” he continued.
Huang added that NVIDIA intends to continue to collaborate with its existing baseband partners and respect its customers’ preferences in combining application and baseband processors.
Stan Boland, President and CEO of Icera, said, “NVIDIA’s Tegra processor has the main impressive roadmap within the industry, and it’s a great match for Icera. As a part of NVIDIA, we can reach a broader market. Our team has collaborated closely with NVIDIA for several years on a number projects, and we’re delighted to be joining forces.”
Background on Icera
Icera is a pioneer in next-generation, multi-protocol wireless baseband processors with RF components. Its technology scales from 2G to 4G networks, using a custom-built, ultra-low-power processor. For the reason that baseband is software-based, manufacturers can develop multiple products from a standard platform, reduce development costs, accelerate time to market and secure a path to support future baseband standards.
Icera’s third-generation Livanto line of chipsets delivers the industry’s fastest data rates, cuts user wait times, reduces battery drain and supports multiple standards at the same hardware. And its forthcoming Espresso®450 and Espresso®500 line of platforms provides industry-leading performance for 2G, 3G and 4G networks, low-power optimization for voice and high-speed data, and the industry’s smallest form factor. Its portfolio of goods will expand significantly within the near future.
Founded in 2002 and based in Bristol, England, the corporate has approximately 300 employees in seven countries in Europe and Asia, in addition to the U.S. It was established by a set of senior executives with strong, shared backgrounds in microprocessor design and cellular communications.
Thursday Conference Call
More details may be provided during NVIDIA’s quarterly conference call to be hung on Thursday, May 12, 2011 at 2:00 p.m. PT. To hear the conference call, please dial 706-679-2572; no password is needed. The conference call can also be webcast live (in listen-only mode) on the following websites: www.nvidia.com and www.streetevents.com.
A replay of the conference call can be available until May 19, 2011, at (706) 645 9291, conference ID 59360508. The webcast should be recorded and available for replay until the company’s conference call to speak about financial results for its second quarter of fiscal year 2012.
About NVIDIA
NVIDIA (NASDAQ:NVDA – News) awakened the realm to the ability of special effects when it invented the GPU in 1999. Since then, it has consistently set new standards in visual computing with breathtaking, interactive graphics available on devices starting from tablets and conveyable media players to notebooks and workstations. NVIDIA’s expertise in programmable GPUs has brought about breakthroughs in parallel processing which make supercomputing inexpensive and widely accessible. The corporate holds greater than 1,800 patents worldwide, including ones covering designs and insights which are necessary to modern computing. For more info, see www.nvidia.com.
Certain statements on this press release including, but not limited to statements as to: the advantages and impact of the purchase; NVIDIA’s position as a number one player inside the growing mobile and tablet markets; addressable markets; future product roadmap; product features and benefits; anticipated revenue synergies; future financial results and the consequences of the company’s patents on modern computing are forward-looking statements which might be subject to risks and uncertainties that may cause results to be materially different than expectations. Important factors which may cause actual results to vary materially include: the failure of the purchase to shut on a timely basis or in any respect; the failure to successfully integrate the acquired business or retain its key employees; global economic conditions; our reliance on third parties to fabricate, assemble, package and test our products; the impact of technological development and competition; development of recent products and technologies or enhancements to our existing product and technologies; market acceptance of our products or our partners products; design, manufacturing or software defects; obtaining sufficient intellectual property rights; changes in consumer preferences or demands; changes in industry standards and interfaces; unexpected lack of performance of our products or technologies when integrated into systems; in addition to other factors detailed on occasion within the reports NVIDIA files with the Securities and Exchange Commission, or SEC, including its Form 10-K for the fiscal year ended January 30, 2011. Copies of stories filed with the SEC are posted at the company’s website and come from NVIDIA for gratis. These forward-looking statements will not be guarantees of future performance and speak only as of the date hereof, and, except as required by law, NVIDIA disclaims any obligation to update these forward-looking statements to mirror future events or circumstances.
© 2011 NVIDIA Corporation. All rights reserved. NVIDIA, the NVIDIA logo and Tegra are trademarks and/or registered trademarks of NVIDIA Corporation inside the U.S. and other countries. Other company and product names could be trademarks of the respective companies with which they’re associated. Features, pricing, availability, and specifications are subject to vary without warning.
MetroPCS Q4 results are in: increased revenue, slowing growth
Google ‘close’ to choosing new Motorola Mobility CEO, say the same old gang of sources
