SiTime is acquiring certain assets of the Renesas Electronics timing business in a multi-billion dollar deal. This will accelerate the precision timing company’s path to $1bn revenue, with a comprehensive timing products portfolio.
“This acquisition is a monumental milestone toward fulfilling our vision to transform the timing market. With Renesas’s timing business, we will increase our clocking portfolio by more than 10x and extend our reach in the fastest growing applications in the timing market, including comms, enterprise and datacentre. Notably, these applications are expected to represent more than 60% of SiTime’s revenue, post-acquisition,” said Rajesh Vashist, Chairman and CEO of SiTime.
The business being acquired is well-known for its clocking solutions, with a 30-year legacy of highly differentiated clocking products. It serves over 10,000 customers, with nearly 75% of revenue in the AI-datacentre-comms segment and the rest in industrial and automotive.
At the same time, the two companies have come to an agreement to “explore SiTime’s MEMS resonator integration into Renesas’s embedded computing products”.
“This transaction allows Renesas to sharpen its focus on embedded compute leadership while ensuring our customers have access to SiTime’s cutting-edge MEMS timing technology,” said Hidetoshi Shibata, CEO of Renesas.
SiTime’s Titan MEMS resonators will enable integration in combination with Renesas’s MCU or SoC die into a single package. This eliminates the complications associated with having the resonator on the system board and also saves space and simplifies design. The resulting next-generation products could unlock new possibilities in many applications in AI datacentres, industrial equipment including robots, ADAS systems in cars, and wearables, where performance, energy efficiency and miniaturization are critical.
