Alphawave IP Group plc agreed to acquire the entire OpenFive business unit from SiFive for US$210 million in cash.
SiFive is the founder and leader of RISC-V computing based in San Mateo, California.
OpenFive, a SiFive business unit, has a high-speed connectivity system-on-chip (SoC) IP portfolio and a proven team based in India and Silicon Valley that has been delivering custom silicon solutions for over 15 years.
The acquisition significantly increases Alphawave's customer base globally from 20 currently to over 75, especially in North America, and adds an additional hyperscaler customer based in North America.
This acquisition will nearly double the number of connectivity-focused IPs available to Alphawave customers from 80 to over 155 and will provide customers with a one-stop-shop for their bundled connectivity needs in the most advanced technologies at 5nm, 4nm, 3nm and beyond. This will include an expanded die-to-die connectivity portfolio that will accelerate chiplet delivery capabilities to customers. Alphawave has also licensed RISC-V processor IPs from SiFive as part of the transaction.
Tony Pialis, President and Chief Executive Officer of Alphawave stated: "We have known and worked with the OpenFive team for many years as they have established their credibility in delivering leading-edge SoC IP and custom silicon solutions in the world's most advanced technology, and to the world's most advanced customers. This acquisition is important for Alphawave, but also for our industry, as we will now be the leading pure-play provider of connectivity solutions in the world in whatever form-factor our customers need it – as silicon IP or in custom silicon solutions like chiplets. As we look to the future, we expect to develop and acquire additional capabilities to further expand and accelerate our leadership in connectivity. In our core business, the first quarter of 2022 is very strong and the outlook for 2022 is also strong. We expect this transaction to meaningfully impact revenues in H2 2022, pending regulatory approval of the transaction."
Patrick Little, Chairman and CEO of SiFive stated: "It has been a pleasure working with the Alphawave team on this transaction, and I am sure that we will continue to work together as SiFive focuses on its core RISC-V business. We were also pleased that Alphawave licensed SiFive's RISC-V processor IP as part of the transaction, which further demonstrates the importance of SiFive RISC-V technology to high-end customers globally in a variety of end markets."
