Broadcom Bags BroadLight for $195M
Broadcom has also reserved up to $10 million more in cash for future payments to holders of BroadLight capital stock and other rights tied to certain performance goals. The company expects to close the deal in the second quarter.
Why this matters
The addition of BroadLight provides Broadcom more PON ammo following its acquisition of Teknovus last year, allowing it to round out a silicon portfolio for Optical Network Unit (ONU) gear as well as Optical Line Terminal (OLT) equipment.
Some analysts also believe the deal will add fuel to a heating rivalry between Broadcom and Qualcomm Inc. (Nasdaq: QCOM), which got into the PON game by acquiring Atheros.
— Jeff Baumgartner, Site Editor, Light Reading Cable