Mixed-signal semiconductor specialist Integrated Device Technology announced it was divesting its smart metering business, while Atmel separately announced it had acquired it in an all-cash deal for which the details were not disclosed.
IDT's president and CEO Ted Tewksbury noted that, by divesting the business, it "sharpens IDT's strategic focus while reducing operating expenses and improving profitability."
The acquisition includes IDT's metrology analog front-end and system-on-chip devices for single and polyphase energy meters. Atmel says the smart metering IC product line offers best-in-class accuracy, and complements its existing family of smart metering offerings.
Atmel's president and CEO Steve Laub said that, with smart energy being a key focus of the company, by offering the broad product portfolio "existing IDT and Atmel customers now have access to a more complete and compelling suite of smart energy solutions that will enable a wider range of applications."
Atmel's smart metering portfolio includes the world's first single-chip power line communications-based solution targeting the rapidly growing PRIME smart metering market, a public, open, and non-proprietary telecommunications architecture.
The market researchers at Pike Research estimate annual smart grid revenue will grow at a 10% compounded growth rate, to $73 billion by 2020.
The article Atmel Acquires IDT's Smart Meter Business originally appeared on Fool.com.Fool contributor Rich Duprey has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
Copyright © 1995 - 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.