Semiconductor supplier Avago Technologies Ltd. announces that it will acquire LSI Corp., which designs semiconductors and software for storage and networking, for $6.6 billion. The acquisition adds enterprise storage to Avago’s existing wired infrastructure, wireless, and industrial businesses.

“This highly complementary and compelling acquisition positions Avago as a leader in the enterprise storage market and expands our offerings and capabilities in wired infrastructure, particularly system-level expertise,” says Hock Tan, President and Chief Executive Officer of Avago. “This combination will increase the company’s scale and diversify our revenue and customer base. In addition to these powerful strategic benefits, as we integrate LSI onto the Avago platform, we expect to drive LSI’s operating margins toward Avago’s current levels, creating significant additional value for stockholders.”

Release Date: December 16, 2013
Source: Avago Technologies