Broadcom has announced it is acquiring NetLogic Microsystems in a deal worth around $3.7bn, and which will see the company add various processor technologies to its existing wireless chipset business. Bringing over tech including “knowledge-based processors, multi-core embedded processors, and digital front-end processors” it’s expected to help Broadcom compete with other end-to-end SoC firms, such as Qualcomm.
“Broadcom is now better positioned to meet growing customer demand for integrated, end-to-end communications and processing platforms for network infrastructure” company president and CEO Scott McGregor says of the deal. Although Broadcom has previously attempted to break into the smartphone segment, with reference platforms like the BCM2157, so far it is better known for its combination wireless chipsets that can squeeze Bluetooth, 3G/4G and other connectivity types into a single package.
However, heavyweights like NVIDIA and Qualcomm still dominate that segment, and Broadcom is obviously hoping that by adding some extra processor know-how it can compete more aggressively. The deal is expected to close sometime in the first half of 2012, though there’s no word on when we can expect to see the first fruits of the partnership.