Qualcomm Lands Berkana Wireless

Wireless networking giant Qualcomm has acquired Berkana
Wireless, a fabless vendor of radio frequency integrated circuits (RFICs) made using CMOS manufacturing process technology, for $56 million in cash, the companies said.

Berkana’s cellular systems experience is expected to reinforce Qualcomm’s
leading position in the RFIC industry, and could improve the company’s
ability to deliver CDMA2000 and WCDMA (UMTS) RF solutions to its
customers and the growing number of 3G subscribers around the world.

“We are continually seeking ways to strengthen and accelerate our offerings,” Sanjay Jha, president of Qualcomm CDMA Technologies, said in a statement.

“This acquisition reinforces our leadership in RF in the 3G wireless
market, enabling us to more quickly deliver new highly integrated RF CMOS
solutions to our customers.”

Qualcomm is expecting the Campbell, Calif.-based Berkana to help deliver
cost, power and space reductions to the cellular phone radio function, and
to enable next-generation multi-mode handsets and wireless terminals.

“Our joining with Qualcomm is a result of our shared goals to advance 3G
wireless deployment and adoption worldwide,” said Sam Nakib, president and
chief executive officer of Berkana Wireless, in the statement.

In the past several years, Qualcomm has been active in snatching up
properties to move it forward in this space.

In 2004, the company acquired semiconductor design firm Spike Technologies to help satisfy demand for its 3G CDMA
wireless devices.

The company has also been mining the growing number of 3G subscribers
around the world.

In 2003, it took a big step in that direction when it
landed a non-binding memorandum of understanding (MOU) with Asia Pacific Broadband Wireless Communications, the first operator in
the region to commercialize 3G services using CDMA2000 technology.

In addition to the cash payment of $56 million, Qualcomm expects to incur
one-time charges of approximately $10 million, principally related to
in-process research and development, upon closing.

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