June 18, 2002 – Hillsboro, OR – TriQuint Semiconductor Inc., a supplier of components and modules for communications applications, has acquired a portion of the assets of IBM’s wireless phone chipset business.
Under the agreement, TriQuint will take over the design, development, marketing, and sales of certain standard and custom IBM semiconductor products used in wireless phones and other communications applications. IBM will continue to manufacture the components for TriQuint.
The IBM products being transferred to TriQuint include voltage-controlled oscillators (VCOs), receivers and wideband CDMA chipsets, all based on silicon germanium process technology.
TriQuint will assume related product assets and be granted assignments and licenses to associated IP. The transaction is expected to close by the end of June 2002.
TriQuint will make an initial payment of approximately $22 million to IBM for the related assets, with subsequent adjustments contingent upon business volumes. TriQuint expects that this business will add approximately $12 to $15 million in revenue over the next 12 months.
While no longer selling these products, IBM will continue to participate in the wireless semiconductor marketplace through its foundry manufacturing and custom chip activities.