NXP Semiconductors will acquire the Cellular Communications Business of Silicon Laboratories for US$285 million in cash. NXP may pay up to an additional US$65million contingent upon the achievement of certain milestones in the next three years. The assets to be acquired include the RF CMOS technology based transceivers for cellular phones, as well as the monolithic cellular systems chips. The business to be acquired had a revenue of approximately US$176 million in 2006. The transaction is expected to close by the end of the first quarter of 2007. Approximately 160 employees of Silicon Labs wireless operations will be merged with NXP. Dan Rabinovitsj, Silicon Labs vice president, heading up the cellular communications business will lead the team as general manager and senior vice president of NXP’s Cellular Systems business line.