Combined Company Extends Leadership in Connected Home Entertainment
SAN DIEGO, April 10, 2007 (PRIME NEWSWIRE) -- Entropic
Communications, Inc., the leader in home networking for digital
entertainment, announced today that it has signed a definitive
agreement to acquire RF Magic, Inc., a leading developer of broadband
radio frequency (RF) systems-on-a-chip. Terms of the deal were not
disclosed.
The merging of the two San Diego-based semiconductor companies brings
together established complementary technologies focused on the
rapidly growing market for connected home entertainment.
The new entity will retain the Entropic Communications name. Patrick
Henry, Entropic's current president and CEO will be the CEO of the
merged company. Mark Foley, RF Magic's current president and CEO will
become the president and COO of Entropic Communications once the deal
closes.
"This merger brings together two independently successful companies
in one of the fastest growing segments of the semiconductor market.
We can now offer customers a comprehensive product portfolio for the
connected home entertainment market," stated Patrick Henry, president
and CEO of Entropic.
"It's a very natural and ideal fit for both of us. We are both
focused on delivering multimedia content into and around the home and
have developed two exceptionally talented teams with core
competencies not only in chip design but also in systems level
design," added Henry.
"With our combined domain expertise in satellite, telco and cable
operator-based deployments, we are confident that we have the team in
place to take advantage of the market opportunities, much more so
than if we remained separate entities," said Mark Foley, president
and CEO of RF Magic. "This merger comes at a time when both companies
have strong revenue growth and have established themselves and their
products as leaders in their respective markets."
"The market for home entertainment -- from delivery of rich
entertainment services from carriers to the in-home distribution of
personal or professional content -- is rapidly moving to a new phase
where consumers demand flexibility in where and when they consume
it," said Mike Wolf, principal analyst, ABI Research. "The merger of
these two companies brings together many pieces of the puzzle being
required by systems OEMs, video service providers and entertainment
companies to effectively compete in this new environment and well
positions the new company to serve their clients."
"The common market focus coupled with their complementary systems
expertise positions Entropic to be a major player in the connected
entertainment space," said Steve Rago, IPTV and media networking
analyst for iSuppli.
About Entropic Communications
Entropic Communications, Inc., is the leading developer of LAN and
WAN networking of multimedia for the connected home. Entropic's
products allow consumers to easily share digital entertainment
throughout the home, fundamentally changing the way content such as
movies, music, and images are stored and networked by consumers. For
more information: www.entropic.com.
The Entropic Communications logo is available at
http://www.primezone.com/newsroom/prs/?pkgid=2892
About RF Magic, Inc.
RF Magic, Inc. is a fabless semiconductor company at the forefront of
designing highly integrated broadband radio frequency (RF)
systems-on-a-chip. Targeting high volume, high growth consumer
markets, RF Magic applies its RF integrated circuit (IC) and digital
communications systems design expertise to the development of a
diversified portfolio of patented RF ICs for the consumer broadband
and digital broadcast entertainment markets. The company is located
in San Diego, CA with an additional design center in Nice, France.
For further information on the company and products please visit
www.rfmagic.com. RF Magic, RF Systems and the RF Magic logo are
trademarks of RF Magic, Inc.
Enabling Connected Home Entertainment(tm)
CONTACT: Entropic Communications
John Graham, VP Marketing
+1 (858) 829-1691
jgraham@entropic.com
Gelphman Associates
Rob Gelphman
+1 (408) 451-8420
robert@gelphman.com
