Broadcom agreed to acquire Zyray Wireless Inc., a start-up developing baseband co-processors for WCDMA (Wideband Code Division Multiple Access) mobile devices, for $96 million in stock (2.23 million Class A shares).
Zyray's SPINNERchip co-processor enables 3G capabilities to be easily added to current generation phone handsets and data terminals. The technology is currently being integrated into several handset designs. Broadcom said the technology complements its existing EDGE/GPRS/GSM mobile processors.
In addition to WCDMA technology, Zyray is currently developing HSDPA (High Speed Downlink Packet Access) functionality for integration into its next generation family of devices. HSDPA is the next step in the cellular evolutionary path after WCDMA and is expected to provide data rates of up to 10 Mbps in the downlink. Zyray is also developing MIMO (Multi-In, Multi-Out) transceiver technology that can significantly improve the performance of WCDMA and HSDPA. MIMO refers to radio links with multiple antennas at the transmitter and receiver. http://www.broadcom.comhttp://www.zyraywireless.com
- Zyray Wireless, which is based in San Diego, secured its Series A funding in March 2001 from Mission Ventures, EDF Ventures and Formative Ventures.
