Feeds

ATI buys cable modem chip biz for $14m

Extending digital TV product line

  • alert
  • submit to reddit

Providing a secure and efficient Helpdesk

ATI took a further step into the digital TV market yesterday when it announced it will acquire a third-party cable modem chip design operation.

The deal will see US-based Terayon Communication Systems sell its cable modem silicon intellectual property to ATI for $14m in cash. ATI also said it will hire two dozen Terayon designers who are now surplus to their current employers' requirements.

ATI's thinking is that the acquisition will put it in a better position to pursue digital TV opportunities, selling TV makers not only graphics and image processing technology but the silicon they need to integrate cable access into the box, alleviating the need for a separate set-top box.

ATI claims to have shipped over 5m digital TV chips last year to many of the major manufacturers in the field. It said its Theater and NXT demodulators have 85 per cent share of the market, while its Xilleon MPEG decoders have a 40 per cent share of the US 'digital cable ready' arena, although it did not provide a source for these statistics.

Meanwhile, Terayon has shipped more than 3m of its TJ 700x family of cable modem chips worldwide - proof, said ATI, that Terayon's designs are suitable "field-proven".

ATI will pay $6.95m when the acquisition is completed, with the remainder following once "certain conditions, including completion of certain deliverables", have been met. ®

Related stories

Intel, Nvidia were Q4's graphics chip winners
Nvidia chisels away at ATI market share
ATI launches Mobility Radeon X700
PCI Express push ATI sales up
Nvidia to pitch NV48 at ATI's R520

Security for virtualized datacentres

More from The Register

next story
Phones 4u slips into administration after EE cuts ties with Brit mobe retailer
More than 5,500 jobs could be axed if rescue mission fails
Special pleading against mass surveillance won't help anyone
Protecting journalists alone won't protect their sources
Phones 4u website DIES as wounded mobe retailer struggles to stay above water
Founder blames 'ruthless network partners' for implosion
Apple's iPhone 6 first-day sales are MEANINGLESS, mutters analyst
Big weekend queues only represent fruity firm's supply
Radio hams can encrypt, in emergencies, says Ofcom
Consultation promises new spectrum and hints at relaxed licence conditions
Bill Gates, drugs and the internet: Top 10 Larry Ellison quotes
'I certainly never expected to become rich ... this is surreal'
Big Content Australia just blew a big hole in its credibility
AHEDA's research on average content prices did not expose methodology, so appears less than rigourous
EMC, HP blockbuster 'merger' shocker comes a cropper
Stand down, FTC... you can put your feet up for a bit
prev story

Whitepapers

Providing a secure and efficient Helpdesk
A single remote control platform for user support is be key to providing an efficient helpdesk. Retain full control over the way in which screen and keystroke data is transmitted.
A strategic approach to identity relationship management
ForgeRock commissioned Forrester to evaluate companies’ IAM practices and requirements when it comes to customer-facing scenarios versus employee-facing ones.
Saudi Petroleum chooses Tegile storage solution
A storage solution that addresses company growth and performance for business-critical applications of caseware archive and search along with other key operational systems.
WIN a very cool portable ZX Spectrum
Win a one-off portable Spectrum built by legendary hardware hacker Ben Heck
The next step in data security
With recent increased privacy concerns and computers becoming more powerful, the chance of hackers being able to crack smaller-sized RSA keys increases.