nVidia announced that it has signed a definitive agreement to acquire MediaQ, Inc., the leading provider of graphics and multimedia technology for wireless mobile devices.
Under the terms of the agreement, NVIDIA will acquire privately-held MediaQ for USD 70 million in total consideration, which nVidia expects to pay predominantly in cash. The acquisition, which is expected to be completed in the third quarter of nVidia's fiscal year 2004, has been approved by the board of directors of each company and is subject to the satisfaction of regulatory requirements and other customary closing conditions.
Founded in 1997, MediaQ's core technologies enhance visual display capabilities, improve connectivity, and minimize chip and system-level power consumption. The company enhances its semiconductor product offerings with a comprehensive set of software, including drivers for major mobile operating systems (Microsoft PocketPC, Microsoft SmartPhone, Palm, Symbian) and APIs that improve OEM time to market. Key market segments are 3G and 2.5G handsets, PDAs, LCD displays, and other mobile devices. MediaQ customers include leading handset and PDA manufacturers, such as Mitsubishi, Siemens, DBTel, Dell, HP, Palm, Philips, Sharp, and Sony.
We are delighted to join forces with nVidia, said Elie Antoun, chief executive officer and president, MediaQ. MediaQ's customers will benefit from nVidia's vast technology and engineering resources, manufacturing prowess, and global support infrastructure.
This acquisition supports nVidia's strategy of extending our platform reach and accelerates our entry into the wireless mobile markets, added Jen-Hsun Huang, chief executive officer, nVidia. The world class team at MediaQ has made significant penetration and created strong relationships with key technology leaders in the areas of handsets, LCD displays, and PDAs, all essential ingredients in the 3G mobile multimedia revolution. The MediaQ acquisition extends nVidia's competencies in ultra low power design methodologies and system-on-chip designs, as well as in the Microsoft Pocket PC, Microsoft SmartPhone, Palm, and Symbian operating systems.
More details will be provided during nVidia's quarterly conference call to be held on August 7, 2003.