July 6, 2022
Apple Reaches $600 Million Licensing and Acquisition Deal With Dialog

Apple Reaches $600 Million Licensing and Acquisition Deal With Dialog

Posted October 11, 2018 at 2:49pm by iClarified · 6914 views
Apple has struck a $600 million deal with Dialog for the licensing of select power management technologies, the acquisition of certain assets, and the transfer of over 300 employees.

Dialog says Apple will pay $300 million in cash for the transaction and prepay $300 million for products to be delivered over the next three years. The employees who are being transferred have worked closely with Apple for many years and this transition will reportedly foster deeper collaboration between the two companies.

The company also announced that it has been awarded a broad range of new contracts from Apple for the development and supply of power management, audio subsystem, charging and other mixed-signal integrated circuits. Revenue from the new contracts is expected to be realized starting in 2019 and accelerating in 2020 and 2021.

Apple Reaches $600 Million Licensing and Acquisition Deal With Dialog

Jalal Bagherli, CEO of Dialog, said: “This transaction reaffirms our long-standing relationship with Apple, and demonstrates the value of the strong business and technologies we have built at Dialog. Going forward, we will have a clear strategic focus, building on our custom and configurable mixed-signal IC expertise and world- class power-efficient design. Our execution track record, deep customer relationships, and talented employees give us great confidence in our future growth prospects.”

“We believe that this transaction is in the best interests of our employees and shareholders who will benefit from a business with enhanced focus, strong growth prospects and additional financial flexibility to invest in strategic growth initiatives,” added Bagherli.

Apple Reaches $600 Million Licensing and Acquisition Deal With Dialog

Apple will employ more than 300 Dialog engineers and other employees already supporting Apple chip development, representing approximately 16% of Dialog’s total workforce. Apple will assume certain Dialog facilities in Livorno (Italy), Swindon (U.K.), Nabern and Neuaubing (Germany).

“Dialog has deep expertise in chip development, and we are thrilled to have this talented group of engineers who’ve long supported our products now working directly for Apple,” said Johny Srouji, Apple’s senior vice president of Hardware Technologies. “Our relationship with Dialog goes all the way back to the early iPhones, and we look forward to continuing this long-standing relationship with them.”

Dialog's 2018 revenue will not be affected by this agreement and the company will continue shipments of current products in production to Apple.

More details in the charts below...


Apple Reaches $600 Million Licensing and Acquisition Deal With Dialog

Apple Reaches $600 Million Licensing and Acquisition Deal With Dialog

Apple Reaches $600 Million Licensing and Acquisition Deal With Dialog
Add Comment
Would you like to be notified when someone replies or adds a new comment?
Yes (All Threads)
Yes (This Thread Only)
No
iClarified Icon
Notifications
Would you like to be notified when we post a new Apple news article or tutorial?
Yes
No
You must login or register to add a comment...
timwynter
timwynter - October 18, 2018 at 4:27pm
Acquisition is due to its HomeKit based product (PCB)
Recent. Read the latest Apple News.
RECENT
Tutorials. Help is here.
TUTORIALS
iPhone 13 Repair Manual PDF [Download]
iPhone 13 Pro Repair Manual PDF [Download]
How to Add Widgets on iPhone [Video]
iPhone 13 Pro Max Repair Manual PDF [Download]
Where to Download macOS Monterey
Deals. Save on Apple devices and accessories.
DEALS