Bosch to Acquire Multipoint Systems from Texas Instruments
Acquisition Substantially Strengthens Bosch's Leadership in Wireless Communications
(May 13, 1997) -- Robert Bosch Gmbh, Stuttgart, Germany, announced today that it has reached agreement with Texas Instruments Incorporated(TI) of Dallas, Texas, USA to purchase its Multipoint Systems business as part of its growing presence in wireless telecommunications under its Bosch Telecom, Inc. subsidiary. Terms were not disclosed.
As part of the agreement, Bosch will acquire all assets and technology associated with the business and will hire all Multipoint employees. This strategic acquisition will strengthen Bosch's leadership in its worldwide wireless communications systems business while enhancing its position for participation in the Local Multipoint Distribution Service (LMDS) industry.
"With this acquisition, we are making a serious commitment to become a major force in the telecom business in North America," said Bob Oswald, chairman of Bosch's U.S. operations. "We are gaining some of the most talented engineers in the world, and their expertise will complement and add to our European telecom business. Our combined operations will make for a powerful extension in the wireless communications industry. We have long admired the Multipoint Systems group at Texas Instruments, and we welcome them to the Bosch Family."
"Multipoint will now be associated with a strong telecommunications company where its technology will become the cornerstone of new development. Multipoint's competitive position can only be enhanced by this merger," said Tom Engibous, president and chief executive officer of Texas Instruments. "The natural synergies between the two businesses will enable both to offer customers a far broader array of wireless communications technologies and products than either could offer alone."
Multipoint technology provides a two-way communications system that enables a wireless delivery of broadband and narrowband services. Applications include high speed LAN/WAN connectivity, telephony and data services, broadcast and cable programming, and video on demand. This wireless digital technology gives service providers a host of competitive advantages over conventional wired systems -- rapid deployment, quick revenue generation, modular buildout, and lower maintenance -- along with the ability to provide the choice and quality of services customers demand.
One of the mainstays of Bosch business is communications technology. In its Communications Technology Business Sector, Bosch is concentrating on promising opportunities in communications for public and private networks. The provision of extensive service in the areas of consultation, engineering, financing, installation, maintenance, operation and insurance, are decisive factors in the Bosch Telecom program. Located in Gaithersburg, Maryland, Bosch Telecom Inc. services both the U.S. and NAFTA markets with a variety of system solutions in telecommunications and related areas. The Company's foundation is based on the competence of the parent organization with its wide network of research and development facilities.
The Multipoint Systems group is a pioneer supplier of digital, fixed wireless systems, providing base, node, and customer premise equipment as well as network and system integration and network management.