Cavium Networks
to Acquire Taiwan-Based Star Semiconductor
MOUNTAIN VIEW, Calif., July 16, 2008 –
Cavium Networks (NASDAQ: CAVM), a leading provider of semiconductor
products that enable intelligent processing for networking,
communications, security and wireless applications, today
announced that it is has signed a definitive agreement to
acquire certain assets and business of Star Semiconductor
Corporation. Star Semiconductor is a Taiwan-based design house
in Hsinchu with expertise in building highly integrated ARM-based
SOC processors for the broadband, connected home and SOHO
market segments. This acquisition will provide Cavium Networks
with a highly experienced stand-alone SOC processor team based
in Taiwan. The net purchase price of the acquisition will
be approximately $9 million in cash. The acquisition is expected
to close in the third calendar quarter of 2008.
Cavium's existing OCTEON single- and dual-core processor
lines address gateway applications in the broadband market
including SOHO/SMB, FTTH and enterprise 802.11n access point
applications. This acquisition will enable Cavium to deliver
highly optimized, cost effective and low power SOC processors
to address a significantly broader range of network connected,
triple-play enabled devices for the digitally connected
home and office. Cavium Networks plans to continue to ship
and sell Star's existing product lines.
"Cavium Networks' technology is enabling intelligent
networks around the globe,” said Syed Ali, CEO and
President of Cavium Networks, ”adding Star Semiconductor's
highly experienced SOC team focused on broadband and network
connected devices will enable us to significantly expand
our served end markets. We are very excited about the addition
of Star Semiconductor to the Cavium family.”
"Star Semiconductor has assembled a proven, highly
experienced team of hardware, software and board-designers
in Taiwan,” said Steven Huang, Chairman and CEO of
Star Semiconductor, ”being based in Taiwan, we have
intimate knowledge of application requirements in the broadband
and network connected device markets. Working with local
customers, we have developed significant core IP for these
markets. Future products will combine Cavium and Star's
IP to build highly-differentiated, low-power solutions for
Cavium’s target markets. We look forward to leveraging
Cavium's customer relationships and global sales to proliferate
the use of the Star technology world-wide."
About Cavium Networks
Cavium Networks is a leading provider of highly integrated
semiconductor products that enable intelligent processing
in networking, communications, storage and security applications.
Cavium Networks offers a broad portfolio of integrated,
software compatible processors ranging in performance from
10 Mbps to 20 Gbps that enable secure, intelligent functionality
in enterprise, data-center, broadband/consumer and access
& service provider equipment. Cavium Networks processors
are supported by ecosystem partners that provide operating
systems, tool support, reference designs and other services.
Cavium Networks principal offices are in Mountain View,
CA with design team locations in California, Massachusetts
and India. For more information, please visit: http://www.caviumnetworks.com.
