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Cypress Semiconductor to buy Cascade

Cypress says the acquisition will bolster its lineup of low-power SRAM chips used in wireless devices and give it greater access to chip foundries.

Cypress Semiconductor announced Monday that it plans to acquire Cascade Semiconductor, in a move to expand its wireless portfolio.

Cypress said the acquisition will bolster its lineup of low-power SRAM (static random access memory) chips used in wireless devices as well as give it greater access to chip foundries at a time when memory is in short supply.

"We are already experiencing some memory shortages, and this will give us access to Powerchip Semiconductor foundries in Taiwan," Cypress spokesman Joseph McCarthy said.

SRAM stores frequently accessed data in caches. These chips are faster and cost more than dynamic random access memory, so they are often used in smaller and selective quantities.

Under the deal, Cascade's operations will be folded into Cypress' memory products division. The division operates a micro-powered SRAM business unit, which develops such chips as a one-transistor (1T) pseudo SRAM for wireless applications.

"Cypress is already in the 1T-Pseudo SRAM business, but Cascade will allow us to do more with their 1T-Pseudo SRAM," McCarthy said.

Cypress said the acquisition will boost its low-power SRAM research and development and will bring in a sales team experienced with "system in packages" chips, which are stacks of two or more chips, such as a processor chip and memory chip or two memory chips.

The deal is expected to close in the fourth quarter. Financial terms were not disclosed.

Cypress last April announced plans to buy Micron Technology's SRAM inventory as that chipmaker exited the business. Under that deal, Cypress agreed to supply former Micron customers with SRAM.