Date: 26/03/2012

Broadcom targets fiber communication market by acquiring BroadLight

Broadcom Corporation has signed a definitive agreement to acquire BroadLight, Inc., a Delaware corporation with an Israel-based subsidiary. BroadLight offers networking and fiber access PON (Passive Optical Network) processors.

"The need for increased bandwidth for IPTV services, HDTV broadcasting and high speed Internet access are driving momentum for deploying fiber networks," said Dan Marotta, Executive Vice President and General Manager of Broadcom's Broadband Communications Group. "Combining BroadLight's PON solutions with the strength of Broadcom's broadband access portfolio will enable us to offer a complete, end-to-end solution for customers - from OLT at the central office to CPE at the home. BroadLight's strong engineering team and broad IP will complement and extend our ability to deliver next-generation access technologies to customers."

In connection with the acquisition, Broadcom currently expects to pay approximately $195 million, net of cash assumed, to acquire all of the outstanding shares of capital stock and other equity rights of BroadLight.