That $160 million is how much Sigma Designs
The agreement grows in stature when you start thinking about what Sigma is getting for the price: CopperGate is an established power in certain kinds of home networking technologies like the HomePNA standard. CopperGate is setting HomePNA standards alongside heavyweights like Cisco and Motorola
When you combine Sigma's media processors with CopperGate's networking chutzpah, you get highly capable networked media platforms that should be able to compete with the best that Texas Instruments
Mr. Market seems a bit queasy about the acquisition -- Sigma shares are down 6% on the day. But I’m confident this deal will provide Sigma with enough benefits to justify the dilution and hefty cash payout. Sigma always seems to be on the cusp of shooting off into the stratosphere, fueled by telecoms like Verizon
Fool contributor Anders Bylund holds no position in any of the companies discussed here. Sigma Designs is a Motley Fool Rule Breakers pick. Try any of our Foolish newsletters today, free for 30 days. You can check out Anders' holdings and a concise bio if you like, and The Motley Fool is investors writing for investors.