Freescale Boosts Multimedia Portfolio

Freescale Semiconductor has agreed to acquire SigmaTel Inc., a move that provides Freescale a line of analog-intensive and mixed signal IC products that complement its multimedia portfolio. Freescale, a privately held company, will pay $3 per outstanding share, about $110 million in cash. “The SigmaTel acquisition enhances the long-term, strategic value we can deliver to our customers,” said Lynelle McKay, senior vice president and general manager of Freescale’s Networking and Multimedia Group. “Freescale’s proven strengths in the high-performance multimedia and general purpose markets are complemented by SigmaTel’s strong analog and mixed-signal expertise in the portable media player and consumer audio markets.” Phil Pompa, president and CEO of SigmaTel said, “The increased demand for feature rich, always-connected consumer electronics devices is driving manufacturers to look for platform-based solutions that will accelerate time to market. With the addition of SigmaTel, Freescale is the obvious choice for these next-generation devices.” Freescale Semiconductor http://www.freescale.com