SAN FRANCISCO—As expected, Texas Instruments Inc. Friday (Sept. 23) closed the $6.5 billion acquisition of former rival National Semiconductor Corp.
TI (Dallas) said earlier this week that it expected to close the deal Friday—slightly faster than the company initially expected when it announced the deal in April—after receiving all required regulatory approval.
"National is now a strategic part of TI’s analog growth engine," said Rich Templeton, TI’s chairman, president and CEO, in a statement. "Together, we’re focused on accelerating semiconductor innovation to improve performance and power efficiency for our customers’ electronic systems."
More than 5,000 National employees will immediately become part of TI. The two companies will begin the work to integrate National as a unit of TI’s analog semiconductor business, which will have a combined portfolio of nearly 45,000 analog products and a sales force that is 10 times larger than National’s previous footprint., TI said.
TI said it would include National’s contribution to financial performance in the company’s third-quarter earnings announcement on Oct. 24. With the closing of the deal, TI's analog semiconductor business unit now represents more than 50 percent of the company’s revenue, TI said.
TI will continue to operate National’s manufacturing sites, located in Maine, Scotland and Malaysia, as well as business headquarters in Santa Clara, Calif., and sales/design support around the world, TI said.
@kinnar but I guess this merger will also create lot of redundant resources as well. Rumours were strong that some people were given pink slip in those companies because they had excess man power after the merger.
Really not a lot of high performance analog players when it comes down to it, TI is huge(r) now, ADI, LT, Maxim (though at times I wonder), and Intersil(who) are the ones that always come to mind. Sure guys like ST do a huge number in commodity analog, but where the big dollars/margin is is in high performance analog.
Economies of scale on the manufacturing front cannot be discounted.
I think this is a much eliminating a competitor as anything. I don't see anything terribly strategic in the National portfolio, just a good range of power management and good volume general analog. Pretty big on LVDS, LED drivers, etc. Oh, and some of the best web-tools which I have to admit has influenced lower volume designs on a few occasions ... yes lazy, but my time is not free and generally time to market far outweighs a few pennies.
What were National's big earners? Obviously they have a big list of switchers, they bought Comlinear which got them some fast, premium analog for the comms markets, but what else?
I guess they were also living off some second-source licenses for cute analog by Widlar et al.?
Well, I like products from both companies. I'm sorry to see National no longer an independent company, but quite possibly the effective increase in sales force will get more penetration for those products.
I would say, is it not already an analog giant? With National on board, TI is approaching nearly double the market share as the next in line. Fragmented, as the analog market is, it still says a lot about the analog powerhouse TI has become.
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