On March 2, 2015, NXP Semiconductors and Freescale Semiconductor announced the merger of the two chip giants. The new company has a market value of more than $ 40 billion and annual operating income of more than $ 10 billion. NXP and Freescale announced a Definitive Agreement on the same day. The two parties will merge into a high-performance mixed-signal semiconductor company. The transaction was finally completed in early December.
Comment: The new company merged aims to become a global leader in automotive semiconductor solutions and microprocessor MCUs, and will invest in more market opportunities in the context of accelerated growth in security, interconnect and microprocessor market demand . The first full fiscal year after the merger is expected to reduce costs by US $ 200 million and achieve a synergy effect of US $ 500 million per year in the future, which will benefit both parties in increasing margins and reducing cost pressures.
Related reports are as follows:
NXP merges with Freescale, completes RF business divestiture
NXP, Freescale merge, new giants value $ 40 billion