Trident, NXP Seal the DealTrident, NXP Seal the Deal

SANTA CLARA, Calif., and EINDHOVEN, Netherlands -- Trident Microsystems, Inc. (Nasdaq: TRID) and NXP Semiconductors today announced the closing of Trident's acquisition of NXP's television systems and set-top box business lines, a transaction first announced on Oct. 5, 2009. The integration of NXP's business lines with Trident immediately creates a global leader in the digital home entertainment segment, establishing Trident as one of the top three providers to both the television and set-top box markets.

If revenue from the newly acquired business lines had been included, Trident estimates that it would have achieved revenue of approximately $500 million in calendar 2009, with approximately 60% attributable to television and 40% to set-top box sales. The combination of Trident's existing business with NXP's television systems and set-top box business lines now provides Trident, in which NXP has received a 60% share interest, with an extensive portfolio of consumer IP. This portfolio comprises over 2,000 granted and in-process patents including motion estimation/motion compensation and conditional access as well as advanced 45nm system-on-chip (SoC) technology. The complementary portfolio will enable Trident to offer an extensive range of innovative semiconductor solutions to the digital home entertainment market, which Trident estimates will reach $5 billion in 2010.

"Integrating NXP's set-top box and digital television business lines with Trident immediately delivers the size and economies of scale needed to lead this market, with the broad product portfolio, IP expertise and operational infrastructure to support growth," said Sylvia Summers, chief executive officer, Trident Microsystems, Inc.

Trident Microsystems Inc. (Nasdaq: TRID)

NXP Semiconductors N.V. (Nasdaq: NXPI)