LONDON óDutch chip company NXP has acquired Jennic, a fabless chip company offering wireless connectivity ICs, for $12.2 million plus an additional $7.8 million over the next two years if Jennic meets certain performance targets.
The acquisition gives NXP BV (Eindhoven, The Netherlands) an option to integrate 802.15.4 and Zigbee low-power RF circuits across its own range of mixed-signal circuits with particular benefit for applications in eMetering, smart lighting, building automation, asset tracking and device remote controls.
Under the terms of the deal approximately 50 UK-based employees will transfer to NXP. Short-range wireless products from Jennic Ltd. (Sheffield, England) will become available through NXP's distribution channels. Jennic was founded by CEO Jim Lindop in 1996 and has remained privately held.
"Innovation in low power wireless RF technology is driving significant demand for exciting new applications and usage models across a broad range of industries," said Rick Clemmer, president and CEO of NXP, in a statement. "The low power RF solutions for wireless applications which Jennic has developed have set a benchmark for driving down power performance. These also represent a great example of high performance mixed signal technology, which together will enable us to jointly target attractive growth markets and offer a complete range of wireless semiconductor solutions."
Jennic has developed protocol stacks for Zigbee PRO, 6LowPAN and RF4CE, and has a range of transceivers, chips and modules for low-power narrowband applications designed to meet demand for smart-grid and metering, smart lighting networks, home and building automation and consumer remote controls solutions.
"We strongly believe that 802.15.4 short-range wireless technology has potential to both enable a number of new applications, and replace traditional communications across a range of industries," said Alexander Everke, an executive vice president with NXP, in the same statement. "The benefits of networking technology with low set-up and operation costs are significant, and by integrating Jennic's solutions, we are now able to offer the broadest range of long- and short-range wireless platforms to meet any customer requirement."
Related links and articles:
NXP puts price range on IPO to raise $700 million
NXP in talks on solar cell manufacture at Nijmegen
Jennic forms global partnership with Mitsubishi