SAN JOSE, Calif.-Location specialist SiRF Technology Holdings Inc. will pay $20 million for global positioning system chipset product lines from Motorola Inc., the company announced Thursday.
SiRF, which makes tracking and navigational equipment for semiconductor chips, said it plans to purchase Motorola products used in cell phones and for public-safety two-way radios. The company said it had also acquired rights to some Motorola GPS chipsets under development.
The transaction is expected to boost sales by 10 percent in the second half of 2005, SiRF said, although earnings aren’t expected to be affected until next year.
Shares of SiRF were up 9 percent, to $16.08, in mid-day trading on the Nasdaq following the announcement.
