STMicroelectronics announced the purchase of NXP sensor business for US$950 million

According to Reuters' reports, STMicroelectronics, one of Europe's major chip manufacturers, recently announced an important strategic action to acquire sensor business under NXP Semiconductors with a maximum of US$950 million in cash. This transaction not only reflects the integration trend of semiconductor industry in the current market adversity, but also highlights the determination of Sci-Free semiconductors to seek business expansion and technological deepening in difficulties.
According to the
report, according to the agreement, the SAR will pay $90 million in advance and pay the remaining $50 million after reaching a specific technical milestone. The core of this acquisition is NXP's electronic inductor business based on micro-mechanical system (MEMS). These sensor product lines have a wide range of applications, including vehicle safety and monitoring sensors, pressure sensors for industrial applications, etc.
St.com pointed out that the NXP semiconductor sensor business that was purchased created a $300 million acquisition in 2024. Once the merger is completed, the product combination and market share of STMicroelectronics in the MEMS sensor field will be effectively expanded. The Sword and Fa semiconductor also predicts that the transaction will be completed in the first half of 2026.
reported that the purchase occurred against the backdrop of severe challenges in global semiconductor industry. Chip manufacturers including STMicroelectronics, especially those related to the automotive, industrial and consumer electronic chip markets, are facing a dilemma of declining sales due to sluggish demand and excessive inventory. As one of the largest chip manufacturers in Europe, STMicroelectronics has also felt the pressure of the market recently.
And earlier the day the purchase was announced, STMicroelectronics released its first single-season financial report in a decade. The damage was mainly due to the reorganization and devalued costs, which caused the company to lose $190 million. In such financial adversity, the STMicroelectronics still decide to conduct large-scale strategic acquisitions, showing their long-term value of the acquired business and their confidence in the future market recovery.
Reporting emphasizes that despite the current market full of uncertainty, the acquisition of NXP sensor business by STMicroelectronics is regarded as a strategic move to strengthen its leading position in the sensor market. Because by integrating NXP's sensor technology and customer base in the field of high growth applications, STMicroelectronics is expected to strengthen its influence in key markets such as vehicle electronics and industrial Internet of Things (IIoT), and prepare for future market reversals. This action may also help companies optimize their product combinations, improve overall operational efficiency, and thus more effectively respond to current market challenges and lay the foundation for long-term growth.