editor's blog
Subscribe Now

Freescale Acquired by NXP

Did not see that coming.

American chipmaker Freescale will be acquired by Dutch rival NXP in a cash and stock deal worth about $11.8 billion. The combined firm will have a valuation of about $40B, making it one of the larger semiconductor vendors in the world. Freescale shareholders will receive about one-third of a share of NXP stock and $6.25 in cash for each share of Freescale stock.

The deal gives Freescale an “enterprise value” (the net worth of the company minus its cash in the bank) of $16.7 billion. The purchase price is considerably below that sum because Freescale doesn’t actually have cash in the bank; it’s in debt. So NXP will be acquiring Freescale’s debt in addition to its intrinsic value as a company, a pretty typical arrangement in these situations.

For the historically minded, Freescale was originally called Motorola Semiconductor after it was spun off from parent company Motorola (which is now part of Google). Motorola/Motorola Semi created many of the embedded world’s most popular microprocessors, including 68HC05, 68HC11, and the 68000 family that powered early Sun workstations and Apple’s first Macintoshes. The company had some misses, too, like the 88000 RISC architecture and the “RISC-ified” ColdFire. In recent years, the company had most of its success in automotive and deeply embedded industrial segments. The company got its start almost 100 years ago, making radios for automobiles, hence the name Motorola: motorized Victrola.

For its part, NXP was once Philips Semiconductor, the chip-making arm of the giant Dutch electronics firm, before being spun off in 2006. The acquisition is expected to close in the second half of this year.

Leave a Reply

featured blogs
Sep 16, 2021
I was quite happy with the static platform I'd created for my pseudo robot heads, and then some mad impetuous fool suggested servos. Oh no! Here we go again......
Sep 16, 2021
CadenceLIVE, Cadence's annual user conference, has been a great platform for Cadence technology users, developers, and industry experts to connect, share ideas and best practices solve design... [[ Click on the title to access the full blog on the Cadence Community site. ]]...
Sep 15, 2021
Learn how chiplets form the basis of multi-die HPC processor architectures, fueling modern HPC applications and scaling performance & power beyond Moore's Law. The post What's Driving the Demand for Chiplets? appeared first on From Silicon To Software....
Aug 5, 2021
Megh Computing's Video Analytics Solution (VAS) portfolio implements a flexible and scalable video analytics pipeline consisting of the following elements: Video Ingestion Video Transformation Object Detection and Inference Video Analytics Visualization   Because Megh's ...

featured video

Product Update: Complete DesignWare 400G/800G Ethernet IP

Sponsored by Synopsys

In this video product experts describe how designers can maximize the performance of their high-performance computing, AI and networking SoCs with Synopsys' complete DesignWare Ethernet 400G/800G IP solution, including MAC, PCS and PHY.

Click here for more information

featured paper

Keep the Lights On When Someone is Home

Sponsored by Maxim Integrated (now part of Analog Devices)

Find out how to keep the power on when the lights go out with a little help from Maxim.

Click to read more

featured chalk talk

PolarFire SoC FPGA Family

Sponsored by Mouser Electronics and Microchip

FPGA SoCs can solve numerous problems for IoT designers. Now, with the growing momentum behind RISC-V, there are FPGA SoCs that feature RISC-V cores as well as low-power, high-security, and high-reliability. In this episode of Chalk Talk, Amelia Dalton chats with KK from Microchip Technology about the new PolarFire SoC family that is ideal for demanding IoT endpoint applications.

Click here for more information about Microchip Technology PolarFire® SoC FPGA Icicle Kit