STMicroelectronics has acquired ams' assets related to its NFC and RFID reader business. ST has acquired intellectual property, technologies, products and business highly complementary to its secure MCU solutions serving mobile devices, wearables, banking, identification, industrial, automotive and IoT markets. Approximately 50 technical experts from ams have been transferred to ST.
The acquired assets, combined with ST's secure MCUs, position ST for a significant growth opportunity, with a complete portfolio of best-in-class technologies, products and competencies that comprehensively address the full range of the NFC and RFID markets for a wide customer base.
Claude Dardanne, Executive Vice President and General Manager, Microcontroller and Digital ICs Group, STMicroelectronics, commented: "Security and NFC connectivity are key prerequisites for the broad rollout of mobile and IoT devices anticipated in the coming years. This acquisition builds on our deep expertise in secure MCUs and gives ST all of the building blocks to create the next generation of highly-integrated secure NFC solutions for mobile and for a broad range of IoT devices. We welcome this highly competent team from ams into ST for the benefit of our customers."
The first NFC controller, leveraging the acquired assets, is already sampling to lead customers, as well as a new high-performance, highly-integrated System-in-Package solution which combines this NFC controller with ST's secure element.
ST acquired the ams assets in exchange for: (i) a cash payment of $77.8m (funded with available cash); and (ii) deferred earn-out contingent on future results for which ST currently estimates will be about $13m but which in any case will not exceed $37m.