Mindspeed Acquires IPG Communications; Terms Not Disclosed

Mindspeed Technologies, Inc. MSPD, a leading supplier of semiconductor solutions for network infrastructure applications, today announced that it has acquired substantially all of the assets of privately held IPG Communications, Inc. of San Diego, CA. IPG specialized in advanced signal processing technologies for wideband code division multiple access (W-CDMA) 3GPP standard release 8, which deliver significant cost and power advantages. In addition, IPG designed a dual-mode turbo decoder which combines W-CDMA and long-term evolution standards, greatly reducing the memory and logic complexity for the system-on-chip as compared with standard decoders. "The team at IPG has established a strong reputation for exceptional communications systems design, software-defined radio (SDR) expertise and dual-mode wireless development,” said Thomas Medrek, Mindspeed's senior vice president and general manager, communications convergence processing. “The opportunity to add this highly-regarded team to our own 3G and LTE wireless baseband development efforts will enhance our position in the mobile infrastructure sector as we continue to win next-generation base station designs around the world.” “This is an exciting time to be joining Mindspeed and contributing to the expansion of the Transcede® family of wireless baseband processors,” said Yuan Li, co-founder and chief executive officer of IPG. “Mindspeed has established an industry benchmark with the Transcede 4000 single-chip solution for LTE picocells, and we look forward to joining their world class development team and participating in the design of the next generation of base station processors to serve tomorrow's heterogeneous 3G and 4G networks.” Financial terms of the transaction are undisclosed and the company expects the deal to be immaterial to its fiscal third quarter 2011 earnings per share (EPS), as well as its full fiscal year 2011 EPS.