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NetLogic, RMI enter merger deal

Posted: 09 Jun 2009 ?? ?Print Version ?Bookmark and Share

Keywords:processor? R&D? multicore? networking?

Fabless company NetLogic Microsystems Inc. and multicore networking processor supplier RMI Corp. have entered into a definitive agreement to merge.

The merger with RMI is expected to enable NetLogic to further expand into the high-performance "data-in-flight" processing segment. RMI's XLP, XLR and XLS multicore, multithreaded processors will complement NetLogic's existing portfolio of knowledge-based processors, content processors, network search engines and 10- to 100GbE PHY products. By expanding upon the IP and product portfolio, the merger is further expected to strengthen and expand NetLogic Microsystems' Tier 1 OEM customer base as well as to diversify its end market penetration.

RMI's engineering team will continue to lead innovations in next-generation high-performance multicore, multithreaded processors and ultralow-power processors. Moreover, the combination of the two companies' R&D centers of excellence brings together critical skill sets in high-speed circuit design, processor architectures, innovative low-power techniques in advanced manufacturing process nodes and software expertise that will enable NetLogic to further raise the bar of innovation in the industry and continue to deliver best-in-class products and solutions.

"We are excited by the opportunities presented by this merger because of the remarkable synergies in our technologies, markets, customers, geographic locations and company cultures," said Ron Jankov, president and CEO of NetLogic. "Further, we believe that our two companies' individual strengths can be successfully leveraged into tremendous growth potential for the combined entity. Similar to the growth drivers that are opening up new opportunities for our knowledge-based processors and high performance physical layer products, the rapid growth in converged IP traffic and demand for the support of advanced IP services such as video, 3G/4G, VoIP and enhanced security, are opening up new opportunities for high-performance multicore, multithreaded processors."

"Both companies share a dedication to excellence in product innovation and have significantly advanced the technology roadmaps in both our respective fields," said Behrooz Abdi, president and CEO of RMI. "We believe the merger will allow us to increase our investments in next-generation products, including the recently announced XLP family of processors which will revolutionize data-in-flight processing performance even in the most technically challenging network environments and our ultralow-power processors, which are gaining significant design win momentum in many new enterprise, industrial and media-rich applications. We look forward to working with the NetLogic Microsystems team to execute on the next phase of our growth as a leading semiconductor company."

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