QUALCOMM Snaps Up Airgo and RFMD's Bluetooth Division to Enable Its Wireless Multimedia Vision

This IDC Flash discusses the acquisition, announced on December 3, 2006, by QUALCOMM (QCOM) of Airgo Networks and the bulk of RF Micro Devices' (RFMD's) Bluetooth operations. The Airgo acquisition will provide the QCT division of QCOM with MIMO-enabled WLAN technology, and the RF Micro Devices acquisition will give QUALCOMM intellectual property (IP) in Bluetooth RF, which should extend the breadth of features offered in its wireless broadband platform. QUALCOMM announced the combined effect of these acquisitions to be dilutive by $0.04 in the company's fiscal year ending September 2007. RFMD received about $40 million for its Bluetooth operations. Airgo's acquisition price was not disclosed. Both acquisitions, which were acquired with cash, are expected to close by the end of 4Q06.