Nvidia to acquire Icera

The transaction is expected to be slightly dilutive on an operating basis through the first half of calendar 2012, and accretive on an operating basis in the second half of calendar 2012. This expectation does not take into account significant revenue synergies that the companies anticipate. The market for baseband processors is one of the fastest growing segments of the technology industry, worth an estimated USD 15 billion a year. Icera will be able to leverage Nvidia’s momentum in the smartphone and tablet markets to capitalize on this growth. ‪“This is a key step in Nvidia’s plans to be a major player in the mobile computing revolution. Adding Icera’s technology to Tegra gives us an outstanding platform to support the industry’s best phones and tablets. Icera is a perfect fit for Nvidia. Our businesses are complementary. Icera has the right team, with a strong, proven track record. And their nimble, entrepreneurial, engineering-focused culture mirrors our own,” said Jen-Hsun Huang, President and CEO of Nvidia. Stan Boland, President and CEO of Icera, said, “Nvidia’s Tegra processor has the most impressive roadmap in the industry, and it is an ideal match for Icera. As part of Nvidia, we will be able to reach a broader market. Our team has collaborated closely with Nvidia for several years on a range of projects, and we’re delighted to be joining forces.”