Irvine-based communications chipmaker Broadcom Corp. said Monday it scooped up Redwood City’s Gigle Networks Inc. for up to $83 million.
Gigle Networks makes what’s called powerline networking chips, which allows Ethernet signals to run over existing electrical wires within a home.
Powerline chips are a “cost-effective and efficient method to connect multiple devices and distribute digital content throughout the home,” according to Broadcom.
“By adding powerline to its technology portfolio, Broadcom will be able to provide additional functionality to its customers in broadband home segments including set-top box, broadband carrier access and wireless router,” the company said.
Broadcom agreed to pay $75 million for Gigle Networks and will tack on $8 million if it meets goals.
Both companies’ boards have signed off on the deal, which is expected to close by year’s end.
Gigle Networks has some 70 employees in Northern California, Spain and Scotland.
The company raised some $20 million in a second round venture funding in 2007 from investors Scottish Equity Partners LLC, Pond Venture Partners and Accel Partners.
Broadcom has been on a roll lately with its acquisitions.
Last month, it picked up Santa Clara’s Beceem Communications Inc., a maker of chips for the next generation of mobile phones, for $316 million.
In June, it paid $47.5 million for Britain’s Innovision Research & Technology PLC, which makes chips that allow for what is known as near field communication, or the wireless exchange of data within a matter of inches.
Broadcom’s chips are found in computers, servers, cell phones and consumer electronics.
