Chip event sharing:NXP historical M&A cases

NXP Semiconductors N.V. is a leading global semiconductor manufacturer whose products include microcontrollers, processors, sensors, analog ics and connectivity modules for automotive, industrial, Internet of Things, mobile devices and communications infrastructure. It is one of the top ten semiconductor companies in the world. With industry changes and the rise of emerging markets, the automotive industry is developing rapidly in the direction of electrification, automation, intelligence and connectivity, and the demand for semiconductor technology is growing and becoming increasingly complex. The global semiconductor market is highly competitive, and various manufacturers are trying to compete for market share. In recent years, NXP has acquired more market resources and customer groups through a series of mergers and acquisitions and investment activities, enhanced its competitiveness in the market, and consolidated its market position in automotive electronics, Internet of things and other fields.
NXP M&A events over the years
NXP Semiconductors, formerly the semiconductor business of Philips, was founded in 2006. Since its inception, NXP has risen rapidly in the semiconductor market, particularly in areas such as automotive electronics, Internet of Things, security and identity. NXP's products are widely used in automotive, Internet of things, smart home and other fields, and is one of the world's leading semiconductor manufacturers ‌. Through mergers and acquisitions, NXP enters new business areas or market segments, quickly acquires key technologies, improves its technical strength, and expands its business territory.

NXP acquires Aviva Links
On December 17, 2024, NXP Semiconductors (NASDAQ: NXPI) announced that it has reached a definitive agreement to acquire Aviva Links, a U.S. startup focused on connectivity solutions for the automotive industry, in a $242.5 million all-cash transaction. With the increasing adoption of technologies such as advanced driver assistance systems (ADAS) and in-vehicle infotainment (IVI) in software-defined vehicles, and the increasing demand for highly asymmetric cameras and display networks with high downlink and low line bandwidths, the market requires more advanced open standard automotive connectivity solutions. As a practitioner of the Automotive SerDes Alliance (ASA) standard, Aviva Links has the industry's most advanced ASA compatible product portfolio, and its technology is highly compatible with NXP's strategic layout in the field of automotive network solutions. NXP hopes to further enhance its technical strength and market competitiveness in the field of automotive connectivity through the acquisition.
Aviva Links' advanced technology will complement and extend NXP's product line in automotive networking solutions, enabling it to offer a more comprehensive range of networking solutions from CAN and LIN to Ethernet switches and physical layer devices. SerDes point-to-point (ASA-ML) and Ethernet-based connections (ASA-MLE) with data rates up to 16Gbps are supported. With this acquisition, NXP will further strengthen its global leadership position in automotive processing and networking, drive the market shift from proprietary solutions to open standard ASA SerDes links, help meet automotive manufacturers' needs for interoperable network architectures, and enhance its competitiveness in the automotive electronics market. The ADAS and IVI asymmetric link market is expected to grow from $1 billion in 2024 to $2 billion by 2034, and this acquisition is expected to drive this growth. After the acquisition, the knowledgeable team of Aviva Links will join NXP's automotive innovation team, and the two teams will collaborate on technology research and development, market expansion and other aspects to jointly promote the development of automotive connected technology.

NXP acquires Freescale Semiconductor
NXP acquired Freescale Semiconductor for $11.8 billion in 2015. At that time, the semiconductor industry was in a period of market adjustment, and emerging fields such as automotive electronics and the Internet of Things developed rapidly, and the market put forward higher requirements for the technology and market integration capabilities of semiconductor companies. NXP already has a certain advantage in the automotive semiconductor market, but wants to further expand its market share and technical strength; Freescale Semiconductor has rich technology and customer resources in the field of automotive electronics and industrial control, and was the fourth largest supplier of automotive electronics chips in the world before the acquisition, but faced certain pressure in terms of scale and market expansion.
Following the acquisition, NXP becomes the world's largest manufacturer of automotive semiconductors and the market leader in automotive semiconductor solutions and universal microcontrollers (MCUS). Combining Freescale's technologies in automotive powertrain, body electronics, and safety systems with NXP's in-vehicle entertainment systems, automotive communication systems and other technologies, we can provide automakers with more comprehensive system solutions. Freescale's microcontrollers, sensors and other product technologies in the field of industrial control complement NXP's technology and product lines, and jointly enhance the market competitiveness in industrial automation, smart home, smart buildings and other fields. The integration of R&D resources from both sides has accelerated technological innovation in the field of automotive electronics and industrial control. For example, joint research and development in automotive chip manufacturing process, functional integration, reliability, etc., to launch more competitive products. The acquisition significantly increases NXP's share and position in the global semiconductor market, particularly in the fast-growing segments of automotive electronics and industrial controls.