Synaptics acquired Renesas Electronics, a Japanese manufacturer of mobile microchips displays used in iPhone and iPad. According to unofficial data, the transaction value is worth $475 million
Renesas SP Drivers is a joint venture of three companies – in addition to the Renesas (55%), the share of 25% in it are Japanese Sharp and Taiwan’s Powerchip (20%). Renesas has long been looking for a buyer for his part in a Renesas SP Drivers, to focus on core areas, including automotive semiconductors, and get rid of non-core assets. Renesas SP Drivers revenue in the last fiscal year, which ended at the end of March 2014 amounted to approximately $650 million
In April this year, Reuters has spread information that Apple was in talk with Renesas to buy part of the business for the production of the latest controller displays for mobile devices. It was about belonging to Renesas 55% of the shares Renesas SP Driver, which is the only supplier of these components for the iPhone. Thus, the transaction would help improve the competitiveness of Apple in the mobile market due to greater control over the supply chain components.
However, Apple is not able to negotiate with the Japanese manufacturer According to Nikkei, Renesas Electronics customers have expressed concern that they will not be able to buy integrated circuits and controllers for LCDs in the same volume as before, if the share of Renesas SP Drivers will be sold iOS-device manufacturer. Renesas has responded to these concerns and the partners decided to sell its stake Synaptics.
American designer and manufacturer of chips for touchscreens and touchpads hopes by Renesas SP Drivers accelerate the introduction of sensory capabilities into their products.