SANTA CLARA, Calif.Aiming to boost its presence in third-generation (3G and 2.5G) wireless systems, National Semiconductor Corp. Thursday (Dec. 16) said it was purchasing Algorex Inc., a San Francisco-based provider of intellectual property for digital signal processors (DSP).
National paid $21.5 million for outstanding shares of stock and options in Algorex, which designs communication systems, DSP architectures, and offers DSP design software for wireless and wired broadband markets.
With solid DSP expertise in the fold, "National now has all the advanced wireless technologies in place to enable our customers to execute on this vision," said Brian Halla, CEO of National Semiconductor. The Santa Clara chip maker plans to leverage Algorex's IP and expertise in wireless physical layer system design and DSP algorithms to provide chip-set solutions for the cell phone and wireless markets.
"This is a perfect complement of skills," said William Stacy, vice president of National's Wireless Group. National already has a leading position in RF and power management products for cellular communications, he pointed out.
"With our mixed-signal expertise, and the DSP algorithm and digital communication expertise of Algorex, we can offer complete and extremely competitive solutions for the industry's next generation of wireless standards," he added.
Algorex, founded in 1996, has been developing high-performance DSP architectures and wireless systems through partnerships and R&D work for chip companies, infrastructure manufacturers, and wireless service providers.
"The strengths of Algorex and National are very complementary, and create a perfect alliance to ensure a dominant presence in the 2.5-generation and 3-generation wireless chipset market," said Ahmad Bahai, Algorex's chief technology officer, who previously headed the Advanced Wireless Technology Group at Bell Laboratories.