CEO Jalal Bagherli has highlighted the need to extend Dialog’s connectivity offering into new channels.
Chip designer Dialog Semiconductor said it would acquire Silicon Motion’s mobile communications business for USD 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.
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 USD 30 million. The transaction is expected to complete this year.