A deal between Virage Logic and NXP Semiconductors will see Virage gain advanced CMOS intellectual property rights and certain engineering staff and equipment related to NXP’s mixed signal technology. Virage Logic will establish an R&D centre in Eindhoven providing on-going support to NXP related to the IP. New products are expected to be released based on the deal in 2011.
Under the terms of the multi-year agreement, NXP will transfer over 160 employees and selected CMOS libraries etc… NXP will also receive 2.5 million shares of Virage Logic common stock.
“NXP’s decision to select Virage Logic as its trusted IP provider allows the company to focus on its strategic vision to achieve leadership in high performance mixed signal,” commented Rick Clemmer, president and CEO of NXP. “The partnership with Virage Logic will also guarantee the availability of state-of-the-art of IP to NXP and provides NXP the opportunity to participate in the value creation through our equity ownership and license sharing agreement with Virage Logic.”