Analysis

Sony acquires Altair Semiconductor

29th January 2016
Nat Bowers
0

Sony has announced that it has reached an agreement to acquire Altair Semiconductor for $212m. The acquisition is expected to be completed in early February, 2016.

Altair owns modem chip technology and related software for LTE, a 4G cellular standard for mobile devices. Altair develops and sells products focused on LTE technology and its modem chips stand out for their low power consumption, high performance and competitive cost.

LTE is already widely used in data communication for mobile phones and is also expected to play a pivotal role in the interconnection of the IoT. Going forward, more and more 'things' are expected to be equipped with cellular chipsets, realising a connected environment in which the 'things' can reliably and securely access network services that leverage the power of cloud computing.

With the acquisition of Altair, Sony aims to not only expand Altair's existing business, but also to move forward with research on and development of new sensing technologies. By combining Sony's sensing technologies - such as GNSS and image sensors - with Altair's high-performance, low power consumption and cost-competitive modem chip technology, and by further evolving both, Sony will strive to develop a new breed of cellular-connected, sensing component devices.

With the markets for wearable and IoT devices expected to continue to expand, Sony aims to deliver component devices that feature both sensing and communication capabilities, as well as new LTE solutions that leverage the strengths of these component devices.

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