Answering the question of what plans Texas Instruments Inc. has to address the emerging CDMA standard for emerging third-generation cellular handsets, the Dallas company moved today to acquire Dot Wireless Inc., a developer of software and transceiver reference designs for CDMA applications.
The acquisition will allow TI to expand is current leading position in providing silicon solutions for cellular handsets into 2.5G and 3G wireless standards and markets, said Gilles Delfassey, vice president and manager of worldwide communications for TI.
"Dot Wireless' expertise brings even more strength to TI's 3G wireless offerings," Delfassey said. "Dot Wireless bring expertise in both IS-2000 and Wideband-CDMA, and will support TI's development of technologies for both standards."
Wideband-CDMA (WCDMA) is designed to support the move from existing GSM, TDMA, and PDC-based cellular systems to 3G service. IS-2000 is designed to support the evolution from today's IS-95 systems.
TI is working with leading handset manufacturers such as Nokia, Ericsson, and Sony to incorporate its DSP technology in next-generation handsets and mobile computing devices.
San Diego-based Dot Wireless employs about 75 people. The company will become part of TI's wireless group, and operate under the TI name.
The acquisition is made through a stock transaction valued at about $475 million. The board of directors of both companies has approved the acquisition, which is expected to be completed in the third quarter.
The acquisition is the third announced by TI in the past two weeks. Last week, TI announced plans to acquire Burr-Brown Corp. for $7.6 billion in stock, and Alantro Communications for $300 million in stock.