“Applied Micro Circuits Corp. in San Diego will acquire intellectual property and a range of assets related to IBM’s embedded PowerPC processors, in a deal worth $227 million, it said on Tuesday. The agreement includes current products based on IBM’s PowerPC 403, 405 and 440 processor architectures, which IBM says accounted for $55 million in revenue in 2003, Dave Rickey, AMCC chairman, president and CEO, said in a statement,” Gillian Law reports for IDG News Service.
“IBM, in Armonk, N.Y., said in early April that it planned to encourage third-party licensing of its Power architecture to boost the integration of devices, from small devices to large servers. Tuesday’s deal is part of that move to ‘expand the Power ecosystem,’ IBM spokesman Rick Brause said. IBM will continue to make high performance PowerPC products for its own products and for important customers including Apple Computer, Sony and Nintendo,” Law reports.
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