Dialog Semi expands into Internet of Things with Silicon Motion deal

Silicon Motion Technology

07/03/2019 07:23

FRANKFURT, March 7 (Reuters) - Chip designer Dialog
Semiconductor  DLGS.DE  said it would acquire Silicon Motion's
 SIMO.O  mobile communications business for $45 million in cash,
expanding its presence in the market for low-power connected
devices.
    Dialog, which already has a strong Bluetooth franchise, said
it would buy Silicon Motion's FCI product line which includes
ultra-low-power, battery-operated Wi-Fi products used in the
so-called Internet of Things (IoT).
    CEO Jalal Bagherli has highlighted the need to extend
Dialog's connectivity offering into new channels. Wi-Fi-enabled
sensors that can be monitored remotely, with a battery life
extending for years, are one such opportunity.  urn:newsml:reuters.com:*:nL5N20T0US
    Dialog will take on a 100-strong engineering team based in
South Korea as part of the deal to buy FCI, which had 2018
revenue of $30 million. The transaction is expected to complete
this year.

 (Reporting by Douglas Busvine; editing by Jason Neely)
 ((douglas.busvine@tr.com; +49 69 7565 1271; Reuters Messaging:
douglas.busvine.thomsonreuters.com@reuters.net))