Latest news with #NXP
Yahoo
3 days ago
- Automotive
- Yahoo
STMicroelectronics to acquire NXP's MEMS sensors business
STMicroelectronics (ST) has agreed to acquire NXP Semiconductors' micro-electromechanical systems (MEMS) sensors business in a deal valued at up to $950m. The transaction includes an upfront cash payment of $900m, with an additional $50m contingent on specific technical milestones. This acquisition focuses primarily on enhancing STMicroelectronics' capabilities in automotive safety and industrial applications. By integrating NXP's MEMS technologies, STMicroelectronics aims to broaden its portfolio across these sectors, with significant implications for both automotive and industrial markets. NXP executive vice president and analogue and automotive embedded systems general manager Jens Hinrichsen said: 'NXP is a leading supplier of automotive MEMS based motion and pressure sensors, with a long history of strong customer adoption. 'However, after careful portfolio review the company has decided the business does not fit into its long-term strategic direction. We have agreed with STMicroelectronics that the product line will fit ideally into ST's portfolio, manufacturing footprint and strategic roadmap.' MEMS technologies are integral to vehicle safety systems such as airbags and tyre pressure monitoring, as well as various industrial applications including pressure sensors and accelerometers. The deal is expected to be accretive to STMicroelectronics' earnings per share immediately upon completion. Financially, the acquired business generated approximately $300m in revenue in 2024. According to STMicroelectronics, the MEMS sensors sector is experiencing rapid growth, particularly within the automotive industry, where demand for advanced safety and monitoring systems is on the rise. This acquisition allows STMicroelectronics to strengthen its market position, leveraging established relationships with automotive Tier 1 suppliers. Incorporating NXP's MEMS business will also enhance STMicroelectronics' research and development (R&D) capabilities. The integration aims to utilise advanced intellectual property and skilled R&D teams to foster faster innovation cycles and offer tailored solutions. STMicroelectronics analogue, power & discrete, MEMS and sensors group president Marco Cassis said: 'The planned acquisition is a great strategic fit for ST. 'Together with ST's existing MEMS portfolio, these highly complementary technologies and customer relationships, focused on automotive safety and industrial technologies, will strengthen our position in sensors across key segments in automotive, industrial and consumer applications.' The completion of the acquisition is subject to receipt of regulatory approvals and other customary closing conditions, with an expected closure in the first half of 2026. Separately, STMicroelectronics reported its second-quarter financial results for 2025. The Switzerland-based company recorded net revenues of $2.77bn with a gross margin of 33.5%. However, it incurred an operating loss of $133m due to restructuring charges and related costs. For the first half of the year, net revenues reached $5.28bn. Looking forward, the company projects third-quarter revenues of approximately $3.17bn. "STMicroelectronics to acquire NXP's MEMS sensors business" was originally created and published by Verdict, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
5 days ago
- Automotive
- Yahoo
STMicroelectronics to strengthen position in sensors with acquisition of NXP's MEMS sensors business
PR N°C3350C STMicroelectronics to strengthen position in sensors with acquisition of NXP's MEMS sensors business ST enters into agreement for acquisition of NXP's MEMS sensor business for a purchase price of up to US$950 million in cash, including US$900 million upfront and US$50 million subject to the achievement of technical milestones The MEMS businesses of ST and NXP are strongly complementary in terms of technology and product portfolio, with the combined product offering to be well balanced across automotive, industrial and consumer end markets NXP's MEMS Business generated revenue of about US$300 million in calendar year 2024 with gross and operating margins significantly accretive for ST All-cash transaction to be financed from existing liquidity and expected to be accretive to ST Earnings Per Share from completion Geneva, Switzerland, July 24, 2025 -- STMicroelectronics (NYSE: STM), a global semiconductor leader serving customers across the spectrum of electronics applications, is strengthening its global sensors capabilities with the planned acquisition of NXP Semiconductors' (NASDAQ: NXPI) MEMS sensors business, focused on automotive safety products as well as sensors for industrial applications. The transaction will complement and expand ST's leading MEMS sensors technology and product portfolio, unlocking new opportunities for development across automotive, industrial and consumer applications. 'The planned acquisition is a great strategic fit for ST,' says Marco Cassis, President, Analog, Power & Discrete, MEMS and Sensors Group of STMicroelectronics. 'Together with ST's existing MEMS portfolio, these highly complementary technologies and customer relationships, focused on automotive safety and industrial technologies, will strengthen our position in sensors across key segments in automotive, industrial and consumer applications. By leveraging our IDM model, with technology R&D, product design and advanced manufacturing, we will better serve all our customers worldwide.' 'NXP is a leading supplier of automotive MEMS based motion and pressure sensors, with a long history of strong customer adoption,' said Jens Hinrichsen, Executive Vice President and General Manager, Analog and Automotive Embedded Systems of NXP. 'However, after careful portfolio review the company has decided the business does not fit into its long-term strategic direction. We have agreed with STMicroelectronics that the product line will fit ideally into ST's portfolio, manufacturing footprint and strategic roadmap. We are gratified that the MEMS sensor team will have an excellent home and long-term future at ST.' The MEMS sensors portfolio to be acquired by ST primarily targets automotive safety sensors, both passive (airbags) and active (vehicle dynamics), as well as monitoring sensors (TPMS1, engine management, convenience, and security). It also includes pressure sensors and accelerometers for industrial applications. ST is well-positioned to leverage strong, established customer relationships with automotive Tier1s with its innovation roadmap in a rapidly expanding MEMS automotive market. MEMS technologies increasingly enable advanced functionalities for safety, electrification, automation, and connected vehicles, paving the way for future revenue growth. MEMS inertial sensors in Automotive are expected to grow at a faster pace than the broader MEMS market. The business to be acquired generated about 300m$ revenues in 2024 with gross and operating margin both significantly accretive for ST. It is also expected to be accretive to ST Earnings Per Share from completion. The planned acquisition will enhance ST's MEMS technology, product R&D capabilities and roadmap, with leading IP, technology and products for automotive safety applications and highly skilled R&D teams. The expanded business will take advantage of ST's Integrated Device Manufacturer model for MEMS, which involves every stage of MEMS development, from design and manufacturing to testing and packaging, enabling faster innovation cycles and greater flexibility for customization. STMicroelectronics and NXP have entered into a definitive transaction agreement for a purchase price of up to US$950 million in cash, including US$900 million upfront and US$50 million subject to the achievement of technical milestones. The transaction which will be financed with existing liquidity is subject to customary closing conditions, including regulatory approvals, and is expected to close in H1 2026. Forward-looking Information Some of the statements contained in this release that are not historical facts are statements of future expectations and other forward-looking statements (within the meaning of Section 27A of the Securities Act of 1933 or Section 21E of the Securities Exchange Act of 1934, each as amended) that are based on management's current views and assumptions, and are conditioned upon and also involve known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those anticipated by such statements due to, among other factors: changes in global trade policies, including the adoption and expansion of tariffs and trade barriers, that could affect the macro-economic environment and may directly or indirectly adversely impact the demand for our products; uncertain macro-economic and industry trends (such as inflation and fluctuations in supply chains), which may impact production capacity and end-market demand for our products; customer demand that differs from projections which may require us to undertake transformation measures that may not be successful in realizing the expected benefits in full or at all; the ability to design, manufacture and sell innovative products in a rapidly changing technological environment; changes in economic, social, public health, labor, political, or infrastructure conditions in the locations where we, our customers, or our suppliers operate, including as a result of macro-economic or regional events, geopolitical and military conflicts, social unrest, labor actions, or terrorist activities; unanticipated events or circumstances, which may impact our ability to execute our plans and/or meet the objectives of our R&D and manufacturing programs, which benefit from public funding; financial difficulties with any of our major distributors or significant curtailment of purchases by key customers; the loading, product mix, and manufacturing performance of our production facilities and/or our required volume to fulfill capacity reserved with suppliers or third-party manufacturing providers; availability and costs of equipment, raw materials, utilities, third-party manufacturing services and technology, or other supplies required by our operations (including increasing costs resulting from inflation); the functionalities and performance of our IT systems, which are subject to cybersecurity threats and which support our critical operational activities including manufacturing, finance and sales, and any breaches of our IT systems or those of our customers, suppliers, partners and providers of third-party licensed technology; theft, loss, or misuse of personal data about our employees, customers, or other third parties, and breaches of data privacy legislation; the impact of IP claims by our competitors or other third parties, and our ability to obtain required licenses on reasonable terms and conditions; changes in our overall tax position as a result of changes in tax rules, new or revised legislation, the outcome of tax audits or changes in international tax treaties which may impact our results of operations as well as our ability to accurately estimate tax credits, benefits, deductions and provisions and to realize deferred tax assets; variations in the foreign exchange markets and, more particularly, the U.S. dollar exchange rate as compared to the Euro and the other major currencies we use for our operations; the outcome of ongoing litigation as well as the impact of any new litigation to which we may become a defendant; product liability or warranty claims, claims based on epidemic or delivery failure, or other claims relating to our products, or recalls by our customers for products containing our parts; natural events such as severe weather, earthquakes, tsunamis, volcano eruptions or other acts of nature, the effects of climate change, health risks and epidemics or pandemics in locations where we, our customers or our suppliers operate; increased regulation and initiatives in our industry, including those concerning climate change and sustainability matters and our goal to become carbon neutral in all direct and indirect emissions (scopes 1 and 2), product transportation, business travel, and employee commuting emissions (our scope 3 focus), and to achieve our 100% renewable electricity sourcing goal by the end of 2027; epidemics or pandemics, which may negatively impact the global economy in a significant manner for an extended period of time, and could also materially adversely affect our business and operating results; industry changes resulting from vertical and horizontal consolidation among our suppliers, competitors, and customers; the ability to successfully ramp up new programs that could be impacted by factors beyond our control, including the availability of critical third-party components and performance of subcontractors in line with our expectations; and individual customer use of certain products, which may differ from the anticipated uses of such products and result in differences in performance, including energy consumption, may lead to a failure to achieve our disclosed emission-reduction goals, adverse legal action or additional research costs. Such forward-looking statements are subject to various risks and uncertainties, which may cause actual results and performance of our business to differ materially and adversely from the forward-looking statements. Certain forward-looking statements can be identified by the use of forward-looking terminology, such as 'believes', 'expects', 'may', 'are expected to', 'should', 'would be', 'seeks' or 'anticipates' or similar expressions or the negative thereof or other variations thereof or comparable terminology, or by discussions of strategy, plans or intentions. Some of these risk factors are set forth and are discussed in more detail in 'Item 3. Key Information — Risk Factors' included in our Annual Report on Form 20-F for the year ended December 31, 2024 as filed with the Securities and Exchange Commission ('SEC') on February 27, 2025. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in this press release as anticipated, believed or expected. We do not intend, and do not assume any obligation, to update any industry information or forward-looking statements set forth in this release to reflect subsequent events or changes in the above or other factors listed under 'Item 3. Key Information — Risk Factors' from time to time in our Securities and Exchange Commission ('SEC') filings, could have a material adverse effect on our business and/or financial condition. About STMicroelectronics At ST, we are 50,000 creators and makers of semiconductor technologies mastering the semiconductor supply chain with state-of-the-art manufacturing facilities. An integrated device manufacturer, we work with more than 200,000 customers and thousands of partners to design and build products, solutions, and ecosystems that address their challenges and opportunities, and the need to support a more sustainable world. Our technologies enable smarter mobility, more efficient power and energy management, and the wide-scale deployment of cloud connected autonomous things. We are on track to be carbon neutral in all direct and indirect emissions (scopes 1 and 2), product transportation, business travel, and employee commuting emissions (our scope 3 focus), and to achieve our 100% renewable electricity sourcing goal by the end of 2027. Further information can be found at For further information, please contact: INVESTOR RELATIONSJérôme Ramel EVP Corporate Development & Integrated External Communication Tel: +41.22.929.59.20 MEDIA RELATIONS Alexis Breton Group VP Corporate External Communications Tel: +33.6.59.16.79.08 1 Tire Pressure Monitoring Systems. Attachment C3350C - ST to acquire NXP MEMS
Time of India
5 days ago
- Business
- Time of India
Chipmaker STMicro makes first loss in over a decade, hit by restructuring costs
By Nathan Vifflin AMSTERDAM: STMicroelectronics reported a second-quarter loss on Thursday, its first in more than a decade, underperforming market expectations as it was hit by restructuring costs . The company's shares fell 11% in early trade, on track for their worst day since July last year. The Franco-Italian chipmaker, which makes power chips for Tesla 's drivetrains and eSim modules for Apple's iPhones, posted a loss of $133 million for the quarter, missing the average $56.2 million profit analysts expected in an LSEG poll. The operating loss included a $190 million impairment, restructuring charges and other costs, STMicro said in a statement. Without the restructuring and impairment costs, profits would have reached $57 million, the company added. STMicro's heavy reliance on in-house manufacturing, representing about 80% of sales, has burdened it with underused factories and high staff costs when the market slows, unlike rivals Infineon and NXP that use more contract manufacturing, analysts say. Chipmakers exposed to the struggling automotive, industrial, and consumer chip markets such as STMicro, Texas Instruments , or NXP have faced a sales slump, hit by low demand, high inventories, and geopolitical disruptions . STMicro, one of Europe's largest chipmakers, unveiled a cost-cutting plan last year to restructure its manufacturing facilities and save hundreds of millions of dollars by 2027. The plans, which included cutting 5,000 jobs in France and Italy over the next three years, started a spat between the French and Italian governments, who jointly own a stake of 27.5%in the firm. STMicro's Chief Executive Jean-Marc Chery defended his plan after the Italian government sought to oust him and accused the management of insider trading. STMicro has not provided guidance for the full year of 2025. In June, the company said it saw the early signs of an upcycle, or a period of increased market demand, which would allow it to achieve its second-quarter revenue goal of $2.71 billion. Revenue rose to $2.76 billion from $2.52 billion in the second quarter, ahead of that target. STMicro said it is now expecting revenue in the third-quarter to reach $3.17 billion, ahead of analysts expectations of $3.10 billion.
The Sun
5 days ago
- Automotive
- The Sun
Malaysia secures RM63 billion investments under National Semiconductor Strategy
PETALING JAYA: The government has secured over RM63 billion in investments through the National Semiconductor Strategy (NSS) as of March 2025, Prime Minister Datuk Seri Anwar Ibrahim announced. The investments include RM5 billion from domestic sources and RM58 billion from foreign investors, reinforcing Malaysia's position in the global semiconductor industry. Key projects under the NSS include Carsem's advanced packaging for energy efficiency, electric vehicles (EVs), and artificial intelligence (AI), as well as Infineon's world-leading 200mm silicon carbide (SiC) power fab. Other major contributors are NXP's semiconductor products, Syntiant's MEMS microphone and sensors, and Plexus's printed circuit board manufacturing. Anwar highlighted Malaysia's growing semiconductor ecosystem, with 13 homegrown companies emerging as potential national champions. Nine firms, including Carsem, Inari, Pentamaster, ViTrox, and Kelington, are projected to generate over RM500 million in revenue this year. Four IC design firms—OppStar, SkyeChip, Infinecs, and Experior—are also showing strong growth, with annual revenue increases exceeding 25 percent. 'Fifty years from now, we want Malaysia to be able to look back at this moment as the tipping point when the country began grooming its very own Fortune 500 tech companies,' Anwar said during his keynote at the ASEAN Semiconductor Summit (ASEMIS) 2025. - Bernama
Barnama
6 days ago
- Business
- Barnama
Govt Has Secured More Than RM63 Bln Investments Through NSS As Of March 2025
PETALING JAYA, July 24 (Bernama) -- The government has secured more than RM63 billion of investments under the National Semiconductor Strategy (NSS) as of March this year, with RM5 billion from domestic sources and RM58 billion from foreign sources, said Prime Minister Datuk Seri Anwar Ibrahim. He said among the notable projects included Carsem's advanced packaging for energy efficiency, electric vehicle (EV), connectivity and artificial intelligence (AI); NXP's semiconductor products, Infineon's world's largest 200mm silicon carbide (SiC) power fab; Syntiant's MEMS microphone and sensors; and Plexus's manufacture and re-manufacture of printed circuit Boards. On growing 10 semiconductor companies with revenue more than US$1 billion; and 100 with revenue more than RM1 billion, he said Malaysia now has at least 13 homegrown companies across the semiconductor value chain, emerging as potential national champions.
