AMCC Acquires Quake for $69M
SUNNYVALE, Calif., Aug. 4, 2006 -- Network technology provider Applied Micro Circuits Corp. (AMCC)
announced yesterday that it will acquire Quake Technologies Inc., a
privately-held fabless semiconductor company that makes 10 Gigabit
Ethernet physical layer (PHY) technology, for $69 million in cash.
Quake
was founded in 2000 and employs approximately 50 people, the majority
of whom are based in Ottawa, Canada. Quake's President and CEO Daniel
Trepanier will remain at the helm under AMCC President and CEO Kambiz
Hooshmand.
AMCC said the acquisition allows the company to
enter into the enterprise networks and data center markets, which are
experiencing a rapid transition from 1GbE to 10GbE. The company cited
market analysis conducted by the Dell'Oro group that predicts 10GbE
ports will grow from approximately 500,000 ports shipped in 2006 to
over 9 million in 2010. 10GbE is now one of the fastest growing
networking technologies, AMCC said.
The transaction is subject
to customary closing conditions and regulatory approvals and is
expected to close at the end of August. For more information, visit: www.amcc.com
/Buyers_Guide/Applied_Micro_Circuits_Corp_AMCC/c992