Rumor: Qualcomm to Buy Small-Cell Specialist

Michelle Donegan

July 2, 2012

1 Min Read
Rumor: Qualcomm to Buy Small-Cell Specialist

Qualcomm Inc. (Nasdaq: QCOM) is in the final stages of acquiring small-cell chipset specialist DesignArt Networks , according to an industry source.

According to Light Reading Mobile's source, the price of the deal for the Israel-based company is expected to be US$80 million, plus up to $20 million more depending on post-acquisition performance.

DesignArt specializes in system-on-chip (SoC) technology and software platforms for LTE small cells that have integrated backhaul capabilities. The acquisition would signal that Qualcomm wants to make a bigger push into small cells, particularly those that can be deployed for public access to boost mobile data capacity. (See Small-Cell Startup Goes Big On Backhaul and Chip Startup Spurs Small-Cell Backhaul .)

Founded in 2006, DesignArt has not disclosed how much funding it has raised to date from its investors Carmel Ventures , Magma Venture Partners and Motorola Solutions Venture Capital (formerly Motorola Ventures).

The acquisition, should it be completed, would be the latest in a wave of small-cell chipset consolidation deals: Mindspeed Technologies Inc. (Nasdaq: MSPD) acquired Picochip for $51.8 million in January this year; and Broadcom Corp. (Nasdaq: BRCM) bought Percello Ltd. for $86 million in October 2010 as well as microwave backhaul startup Provigent Inc. for $313 million in March 2011. (See Mindspeed Snaps Up Picochip for $51.8M, Broadcom to Buy Femto Chip Startup for $86M and Broadcom Buys Into Microwave Backhaul.)

For more

  • CTIA 2010: Qualcomm Snags First Femto Wins

  • Qualcomm Dishes New Femto Details

  • Broadcom vs. Qualcomm Goes Femto

  • Challengers Shake Up LTE Chips

  • More Startups Target Small-Cell Backhaul

— Michelle Donegan, European Editor, Light Reading Mobile

About the Author(s)

Michelle Donegan

Michelle Donegan is an independent technology writer who has covered the communications industry for the last 20 years on both sides of the Pond. Her career began in Chicago in 1993 when Telephony magazine launched an international title, aptly named Global Telephony. Since then, she has upped sticks (as they say) to the UK and has written for various publications including Communications Week International, Total Telecom and, most recently, Light Reading.  

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