Nvidia to buy wireless baseband company Icera

Chipset manufacturer Nvidia has announced that it will purchase Icera, manufacturers of baseband processors for mobile devices, in order to strengthen its position in the mobile market.

The deal with UK-based Icera is valued at $367m (£224.5m) and is expected to complete within 30 days, Nvidia said on Monday.

"Icera has more than 550 patents granted or pending worldwide, and its high speed wireless-modem products have been approved by more than 50 carriers across the globe," Nvidia said in a statement. "By combining the companies' products and technologies, including Nvidia's Tegra processor, Nvidia will enhance its position as a leading player in the growing mobile market,"

Combining Nvidia's application processor with Icera's baseband processor will help device manufacturers get products to market more quickly, and will double Nvidia's potential revenue within each device, the company said.

"This is a key step in Nvidia's plans to be a major player in the mobile computing revolution," Jen-Hsun Huang, president and chief executive of Nvidia, said.

"Icera is a perfect fit for Nvidia. Our businesses are complementary. Icera has the right team, with a strong, proven track record. And its nimble, entrepreneurial, engineering-focused culture mirrors our own."

Huang added that Nvidia plans to continue working with its existing baseband partners and respect its customers' preferences in combining processors.