Cypress Completes Acquisition of Broadcom's Wireless IoT Business, Becoming a Leading IoT Supplier

After the $550 million acquisition, Cypress became the only company in the world that can provide leading wireless RF, MCU, storage and PMIC for embedded IoT systems

Cypress Semiconductor Corporation announced that it has completed the acquisition of Broadcom's wireless IoT business and related assets for $550 million in cash. Cypress now offers the most advanced Wi-Fi, Bluetooth®, Zigbee® IoT product lines and related IP, WICED™ branded software development kits (SDKs), and developer ecosystems and communities. These technologies will be combined with Cypress's existing microcontrollers (MCUs), PSoC® programmable systems-on-chip, analog and storage products to provide customers in core markets such as automotive and industrial with comprehensive interconnected embedded system solutions. These low-power products also establish the company's leadership in the fast-growing consumer IoT market, including wearable electronics and home automation solutions. For more information on Cypress's IoT portfolio, please visit: http://www.cypress.com/welcome-iot.

Figure 1: WICED new logo

“The world’s top innovators in the automotive, industrial and consumer markets expect their products to be connected,” said Badri Kothandaraman, executive vice president of Cypress’ Data Communications Group (now including the IoT Business Unit). “With today’s closing, Cypress is now a leader in the IoT industry, providing customers with the industry’s most advanced wireless RF and enabling them to design and launch products faster with the support of the WICED SDK and developer ecosystem. These world-class wireless RF technologies, once exclusive to top device makers, will now be available to our broad global customer base, enhancing the diversity of the company’s existing embedded solutions.”

Figure 2: Badri Kothandaraman, Executive Vice President of Cypress Data Communications Division

“There is no one-size-fits-all approach to supporting customers in the fast-growing IoT market; you need a scalable platform that drives innovation,” said Stephen DiFranco, senior vice president of Cypress’ IoT business unit and former general manager of Broadcom’s IoT business unit. “WICED offers a unique and scalable ecosystem of module vendors, value-added resellers (VARs), technology partners and ODMs to quickly customize solutions for applications ranging from connected cars to industrial automation equipment to wearables to smart home devices. Cypress has a strong track record in areas as diverse as MCUs, storage and power management ICs (PMICs), and we are excited about the tremendous cross-selling opportunities that are now emerging.” For more information on the Cypress WICED community, visit http://www.cypress.com/wicedcommunity.

Figure 3: Stephen DiFranco, senior vice president of Cypress IoT Division and former general manager of Broadcom IoT Division

>>>> Technology Roadmap and RF Integration

Cypress's RF product portfolio includes products based on 40nm process; in addition, the company is developing a new generation of products with smaller size and ultra-low power consumption process. This technology has unprecedented multi-RF integration, which can help Cypress expand its wireless portfolio such as Wi-Fi and Bluetooth products, and is an ideal choice for various IoT products.

“Our multiprotocol Wi-Fi and Bluetooth products deliver exceptional system value to our customers,” added Kothandaraman. “We will continue to expand our portfolio and build on the success of our PSoC 4 BLE silicon and EZ-BLE™ modules by exploring ways to integrate RF modules with our ARM®-based PSoC® programmable system-on-chip and MCU solutions.”

>>>> Driving the development of connected cars

Cypress is a leader in the connected car space and has achieved many industry firsts over the past decade, including being the first to use Bluetooth and Wi-Fi technologies in cars. Cypress was the first to offer a Wi-Fi-Bluetooth combination, upgrading traditional Bluetooth audio technology through networking; in addition, Cypress's connected car products also include the industry's first 2.4-GHz and 5-GHz 802.11ac synchronous radio combination.

“Our robust automotive wireless portfolio is transforming the connected car experience, enabling multiple displays and media sharing,” added DiFranco. “In addition to providing Internet connectivity, our radios are a perfect match for Cypress’ Traveo™ automotive MCUs and high-performance flash memory that enables over-the-air firmware upgrades, reducing implementation costs and eliminating the need for car owners to visit the dealer.”