Graphics chip maker
on Monday announced plans to acquire MediaQ Inc., a developer of graphics technology used with wireless mobile devices.
Nvidia is acquiring MediaQ in a deal valued at US$70 million, predominantly in cash. The companies hope to seal the deal during the third quarter of Nvidia’s FY2004, after the obligatory regulatory requirements and closing conditions have been met.
Nvidia Corp. primarily makes graphics chips used in personal computers and graphics workstations. Its products are licensed by computer manufacturers, board makers and systems integrators for use in a wide variety of systems. The company has stated long-term ambitions to extend its reach into the mobile space, however, and its acquisition of MediaQ furthers that goal.
MediaQ itself develops hardware controllers and software technology designed to accelerate graphics and video applications on mobile devices. The company’s products are compatible with Microsoft PocketPC and SmartPhone devices, Palm OS-based products and Symbian devices, as well as 3G and 2.5G mobile handsets and PDAs made by Mitsubishi, Siemens and other companies.
Nvidia expects to say more about this acquisition during its quarterly conference call with analysts later this week.