Irvine-based chipmaker Broadcom Corp. said Thursday it’s buying a privately-held maker of chips for digital home entertainment devices.
Broadcom is set to pay $31 million in cash for Newton Centre, Mass.-based Octalica Inc. The deal is expected to close by June 30, the company said.
The company makes networking chips that allow digital content to be distributed through cable in homes. Octalica has a design team in Tel Aviv, Israel. It has a total of 27 workers.
More than 70% of homes in the U.S. have cable already installed for entertainment and Internet access, according to Broadcom.
Octalica’s products are set to be folded into Broadcom’s home networking unit, which includes chips that go into computer broadband devices, Bluetooth and digital cable set-top boxes.
Broadcom said it may record a one-time charge related to the acquisition in the second quarter, but didn’t say how much.
