SAN JOSE, Calif. and MOUNTAIN VIEW, Calif. -- Cypress Semiconductor Corp. (NYSE:CY) and NetLogic Microsystems, Inc. (Nasdaq:NETL) announced that NetLogic Microsystems has completed the acquisition of assets and intellectual property associated with Cypress's standard Network Search Engine products.

NetLogic Microsystems acquired Cypress's Ayama(TM) 10000, Ayama 20000, and NSE70000 Network Search Engine families as well as the Sahasra(TM) 50000 Algorithmic Search Engine family. Meanwhile, Cypress retained and continues to support its custom TCAM1 and TCAM2 products.

Under the terms of the acquisition, NetLogic Microsystems agreed to pay approximately $50 million in NETL common stock upon closing, and, if certain revenue targets are achieved in a 12-month time period, an additional $10 million in cash and up to approximately $10 million in NETL stock will be paid to Cypress.

The Sahasra algorithmic technology complements NetLogic Microsystems's Layer 7 processing initiative and is a critical component in driving towards low-cost Layer 7 applications acceleration and security processing solutions. In addition, the NSE70000, Ayama 10000 and Ayama 20000 expands NetLogic Microsystems' customer base and its product offerings in the high-volume, entry-level Layer 2/3 switch market, where Cypress has a strong, well-established presence.

NetLogic Microsystems Inc. (Nasdaq: NETL)