Samsung Buys CSR’s Mobile Chip Technology

Samsung Electronics Co. has acquired the mobile-technology business of U.K.-based Cambridge Silicon Radio PLC for $310 million. The agreement includes patents to the firm’s Bluetooth, Wi-Fi, and GPS location innovations. Samsung said the move would allow its semiconductor unit to strengthen its line-up of mobile-device processors.

Samsung competes for business from other handset makers against the chip-makers Qualcomm, Texas Instruments and Intel, reports BBC News. The firm’s chips are used in its Galaxy handsets as well as Apple’s iPhones and iPads.

Joep van Buerden, CSR’s chief executive, said his firm offered important technologies, but was aware of a trend in which larger firms were acting to integrate many functions into a single chipset, reducing demand for specialist parts, BBC News reported.

“I believe under Samsung’s ownership the handset operations will be in a better place to prosper in the global handset market,” Buerden said. “I would like to thank all our colleagues who will be transferring to Samsung for their outstanding service.”

CCS Insight analyst Geoff Blaber pointed out in a Yahoo! article that Samsung’s move came soon after the acquisition of Nanoradio, a Swedish Wi-Fi chipset company, which happened June 1. “It underlines Samsung’s commitment to strengthening its vertical advantage by extending silicon capability most notably in Wi-Fi and GPS,” he said.

About 310 members of CSR’s technology and handset team will move over to the South Korean firm.

SiRF founder Kanwar Chadha, who had been with CSR for three years after its acquisition of SiRF in June 2009, left CSR earlier this summer and is rumored to be starting a new venture.