Qualcomm moves beyond mobile phones with Atheros takeover

Wednesday 5 January 2011 | 15:23 CET

Qualcomm has confirmed an agreement to acquire Atheros Communications for USD 45 per share cash, equal to an enterprise value of USD 3.1 billion. Qualcomm expects to close the deal in the first half of 2011 and Atheros to add "modestly" to EPS in fiscal 2012, excluding the amortisation of intangibles. The deal sees Qualcomm expanding beyond chipsets for mobile phones to embrace the growing convergence with consumer electronics and computing. Atheros specialises in RF and mixed signal semiconductor design, helping to incorporate wireless and wired local area connectivity in computing, networking and consumer electronics products. Atheros president and CEO Craig H. Barratt will join Qualcomm as president of Qualcomm Networking & Connectivity.