Intel Buys Texas Instruments’ Cable Modem Unit

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News Posted: Tue, Aug 17 2010 5:49 PM

Intel may be the world's largest chipmaker, but when it comes to processors found in consumer electronics devices, the company has struggled to compete against ARM. In an effort to expand the use of its Atom microprocessors in consumer electronics devices, Intel has purchased Texas Instruments' cable modem chip division.

Intel to Acquire Texas Instruments’ Cable Modem Unit

SANTA CLARA, Calif.-- Intel Corporation today announced it has signed an agreement to acquire Texas Instruments’ cable modem product line. The purchase enhances Intel’s focus on the cable industry and related consumer electronics (CE) market segments, where the company’s expertise in building advanced system-on-chip (SoC) products, based on Intel® Atom™ processors, will be applied.

Intel plans to combine Texas Instruments’ best-of-breed Puma product lines with the Data Over Cable Service Interface Specification (DOCSIS) standard technology and Intel SoCs to deliver advanced set top box, residential gateway and modem products for the cable industry. The objective is to provide cable OEMs with an open and powerful platform for delivering innovative and differentiated products to service providers that improve the video, voice and data content experience at home.

“Adding the talents of the Texas Instruments’ cable team to Intel’s efforts to bring its advanced technology to consumer electronics makes for a compelling combination,” said Bob Ferreira, general manager, Cable Segment, Intel’s Digital Home Group. “Intel is focused on delivering SoCs that provide the foundation for consumer electronics devices such as set top boxes, digital TVs, Blu-ray* disc players, companion boxes and related devices. This acquisition specifically strengthens Intel’s product offerings for the continuum of cable gateway products and reinforces Intel’s continued commitment to the cable industry.”

All employees of Texas Instruments’ cable modem team received offers to join Intel at sites in their home countries, primarily Israel, and will become part of Intel’s Digital Home Group. Additional terms of the transaction were not disclosed. The agreement is subject to regulatory review and customary closing conditions. It is expected to close in the fourth quarter of 2010.

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3vi1 replied on Tue, Aug 17 2010 7:24 PM

>> “Adding the talents of the Texas Instruments’ cable team to Intel’s efforts to bring its advanced technology to consumer electronics makes for a compelling combination,” said Bob Ferreira, general manager, Cable Segment, Intel’s Digital Home Group.

Translation: "We just bought ourselves all the patents we ever wanted! Everyone who worked for TI can get ready for pink slips when we do 'company wide right-sizing' in November!"

What part of "Ph'nglui mglw'nafh Cthulhu R'lyeh wgah'nagl fhtagn" don't you understand?

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Dave_HH replied on Tue, Aug 17 2010 8:52 PM

Umm... sorry, can't agree with that one 3vi1. :) T.I. does a heck of a lot more than set top box chips. DSPs (Digital Signal Processors) for one are huge for them, as well as a myiad of other technologies. That said, looks like Intel made a good pickup here for sure.

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3vi1 replied on Tue, Aug 17 2010 10:53 PM

I actually hope you'r right, Dave-o... but I expect their best yet plan for the worst.

What part of "Ph'nglui mglw'nafh Cthulhu R'lyeh wgah'nagl fhtagn" don't you understand?

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acarzt replied on Wed, Aug 18 2010 4:39 AM

When I first read the title, I thought it said they bought all of TI and I was thinking "Wow! That's huge news!"

Now that I see it is just their Cable Modem Unit, it is far less huge :-)

I have a feeling evil is right about the layoffs tho... it just seems sooo "this economy"

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Dave_HH replied on Wed, Aug 18 2010 9:12 AM

Oh, I'm sure the layoffs are coming. There is bound to be overlap for sure but T.I. is a big company and this is only one business unit.

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rapid1 replied on Thu, Aug 19 2010 11:53 PM

Yes TI is actually a very large company with a very large number of technical innovations in a very large number of fields. I think Intel buying them would be like them buying Xerox in many cases. Of course many don't know how big TI is as well. I remember when they dropped that multi-radio chip a few months ago, it connected to basically every type of wireless communication you can think of from cellular (CDMS and GSM), wireless A-N, bluetooth, and many other ways as well.

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