Date: 08/01/2012

Consumer electronics semiconductor vendor Trident files for bankruptcy

TV and set-top-box semiconductor chip vendor Trident Microsystems has filed voluntary petitions under Chapter 11 of the United States Bankruptcy Code in the United States Bankruptcy Court for the District of Delaware. Trident said it will shortly file for protection in the Cayman Islands as well.

Trident has also filed a motion to approve the bid procedures for the sale of its Set-Top-Box business operations to Entropic Communications, Inc.

Increased price pressure, and slower than anticipated new product adoption were some of points contributed to increased operating losses, as per Dr. Bami Bastani, chief executive officer of Trident.

On a positive note, Trident has licensed RDA Technologies, Ltd., for its SX-5 SOC product for the television market and has received an upfront fee of $7.5 million and expects to receive an additional $8.5 million in the near term.