DSP Group buys SoundChip for noise canceling expertise

June 09, 2020 // By Peter Clarke
DSP Group buys SoundChip for noise canceling expertise
Wireless chipset vendor DSP Group Inc. (San Jose, Calif.) is set to buy SoundChip SA (Lausanne, Switzerland), a specialist active noise cancelation, acoustic modeling and testing

DSP Group has agreed to pay $14.5 million in cash on closing of the acquisition plus an additional $6.0 million at a later date subject to performance and the acquisition meeting certain business criteria.

The deal is expected to close in 3Q20 subject to customary closing conditions and will strengthen DSP Group's move into the hearables market.

The two companies have been working together in partnership and Technics and Panasonic both launched ANC-enabled true-wireless system (TWS) headsets based on hybrid ANC codecs from DSP Group incorporating SoundChip's patented Soundflex technology. DSP Group's technology is also reportedly in Google's Pixel Buds 2.

"The global pandemic has created extensive challenges for businesses and consumers worldwide, but it has also intersected with DSP Group’s business initiatives, presenting significant new opportunities,” said Ofer Elyakim, CEO of DSP Group, in a statement. "The acquisition of SoundChip is an important element of our overall strategy to efficiently deliver the highest quality and most comprehensive solutions into an expanding TAM for voice and communications devices.”

Ran Klier, general manager of the hearables product line at DSP Group, said: "As our Tier One customer base includes some of the world's leading headset brands, we are highly optimistic that the unique combination of DSP Groups SmartVoice and SoundChip's ANC technologies will generate solid demand for our customers' next generation of hearable products."

Related links and articles:

www.dspg.com

www.soundchip.com

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