Nvidia snaps up PMP chipmaker
Graphics processor manufacturer Nvidia is to acquire US chipmaker PortalPlayer for around US$357million.
The deal will allow Nvidia, one of the biggest players in the GPU market, to expand its portfolio of computer chips used in devices such as personal media players (PMP) and mobile phones.
PortalPlayer makes semiconductors, firmware, and software for PMPs and secondary display-enabled computers.
“Modern mobile devices are miniaturised yet powerful multimedia computers. At the core of their architectures are complex application processors integrating microprocessors, system logic, networking, and multimedia processors,” Jen-Hsun Huang, president and CEO of Nvidia, said in a statement.
“With this acquisition, we are combining the two essential technologies of next-generation PMPs, PDAs, portable game players, and phones: PortalPlayer’s innovative application processor technology and Nvidia’s industry-leading GPU technology,” he commented.
“With the products created through this combination, we intend to drive the next digital revolution, where the mobile device becomes our most personal computer,” Huang added.
Nvidia’s handheld technology is currently used by a number of vendors, including Motorola, Samsung, Kyocera, HTC, and Sony Ericsson.
“We are excited about the next chapter in our corporate history. We believe the deal is a win-win for our employees and shareholders,” Richard Sanquini, chairman of PortalPlayer, said in a statement.
Nvidia said the acquisition has been approved by the board of directors of each company and is subject to regulatory approvals and other customary closing conditions.