Merger to provide true one-stop ZigBee solution

9 March 2005 News

Chipcon, a provider of low power, low data rate RF ICs has acquired Figure 8 Wireless, a provider of ZigBee ready software and firmware, in an all stock transaction. The merger between the companies will provide a comprehensive end-to-end ZigBee platform and will provide the combined entity the ability to ensure customers receive the full cost and functionality benefits promised by the ZigBee Alliance.

The merger creates what the Chipcon calls 'the world's first true global One-Stop ZigBee solutions provider' to deliver new device networking solutions based on the ZigBee standard - a recently ratified wireless device networking protocol. ZigBee solutions deliver reliable, cost-effective, low-power wireless monitoring and control applications based on an open global standard, enabling the broad-based deployment of reliable wireless networks.

The news creates a pure play in a space that is a new frontier in home and building automation, HVAC, medical devices, home entertainment, logistics, automotive controls, and other key markets where wired networks are being replaced by sub-$5 low-power wireless chip sets, said Chipcon. The potential impact is major category upheavals in industries such as the $10 bn building automation market where players will benefit from significant reductions in installation costs. The low cost of Zigbee chip sets, coupled with wireless media, will drive nascent markets like home automation and appliances to reach the potentials analysts have been predicting for a decade or more.

The combined company offers customers a full range of ZigBee ready radios, software, development tools, and reference designs for end-to-end ZigBee solutions. In addition, the software capabilities of Figure 8 Wireless significantly enhance Chipcon's current and future proprietary RF and standards-based solutions.

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