TriQuint Semi Acquires Infineon and IBM Divisions

July 04, 2002 by Jeff Shepard

TriQuint Semiconductor Inc. (Hillsboro, OR) announced it has completed two strategic acquisitions. The first is the acquisition of the gallium arsenide (GaAs) semiconductor business of Infineon Technologies AG (Munich, Germany). The second is the acquisition of certain assets of IBM Microelectronics' (White Plains, NY) wireless phone chipset business.

TriQuint and Infineon entered into a partnership to develop and produce highly integrated radio frequency (RF) components and modules for customized wireless system solutions. An initial step of this cooperation is the acquisition of Infineon's GaAs semiconductor business by TriQuint. The transaction includes development and marketing activities with approximately 60 former Infineon employees. TriQuint will not acquire the manufacturing operations, but will enter into an interim supply agreement with Infineon while the process is being transferred to TriQuint.

Under the agreement with IBM, 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, 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 intellectual property.

TriQuint Chairman, President and CEO Steven Sharp stated, "These acquisitions give TriQuint important pieces of the RF front-end, which will further help us to develop fully integrated modules for wireless phones. Both acquisitions bring additional engineering resources to TriQuint, new products and an expanded customer base. In addition, the Infineon acquisition provides us with a strong European presence and access to the Infineon wireless system house architecture for future wireless phones. Both companies are outstanding partners and we are extremely excited about the opportunities these acquisitions bring to TriQuint."