Friday, August 24, 2007

Vitesse Semiconductor Sells Colorado Springs Unit

The Colorado Springs-based storage unit of California-based Vitesse Semiconductor has been sold to Maxim Integrated Products, another semiconductor manufacturer, in a deal that was announced yesterday by Vitesse and Maxim. Vitesse, which operates a storage products unit in Colorado Springs designing components for the Serial ATA (SATA) and Serial Attached SCSI (SAS) market, said that it sold its storage products business to Maxim for a deal worth $63M in cash plus up to $12M in earnout yesterday afternoon. Maxim said that the deal is expected to close in the fourth quarter, and that it expects to offer employment to more than 50 of Vitesse's engineers and experts in connection with the acquisition of the Colorado Springs business. The Vitesse products are used by designers of SATA and SAS storage arrays.