SAN JOSE--Micrel Inc. here today announced an agreement to acquire locally-based Altos Semiconductor Inc. for $1.8 million in cash to strengthen the company's position in mixed-signal and analog ICs.
Privately-held Altos Semiconductor develops temperature-sensing and thermal-management ICs, which are used in computers, peripherals, and industrial systems.
Altos Semiconductor's products and technology are "well aligned with our existing focus on thermal management, initiated with the MIC502 earlier this year" said Ray Zinn, president and CEO of Micrel. "As form factors shrink and performance improvements out-pace power reduction techniques, system temperatures are rising ever higher. Our nascent line of sensors and system management ICs will provide simple solutions to this increasingly prevalent system design issue."
In connection with the acquisition, Micrel said it expects to take a one-time charge against after-tax earnings in the current quarter, ending Dec. 31, for the expense of in-process research and development associated with the purchase.