Qualcomm Incorporated and TDK Corporation today announced an agreement to form a joint venture under the name RF360 Holdings, valued approximately $3 billion to supply RF front-end (RFFE) modules and RF filters used to communicate wirelessly with IoT devices and other devices like drones, robotics, automotive applications and more.
RF360 Holdings will initially be owned 51% by Qualcomm Global Trading PTE. Ltd. (QGT) and 49% by EPCOS AG, a wholly-owned subsidiary of TDK (EPCOS). “Together with RF360 Holdings, QTI will be ideally positioned to design products from the modem/transceiver to the antenna in a fully integrated system”, said Qualcomm.
As part of the agreement, filter and module design and manufacturing assets, plus related patents, will carved out from TDK and its subsidiaries, which will be acquired by RF360 Holdings, with certain assets being acquired directly by Qualcomm affiliates. “QGT has an option to acquire (and EPCOS has an option to sell) the remaining interest in the joint venture 30 months after the closing date,” said Qualcomm.
The joint venture will also expand around key technology fields, including sensors and wireless charging. The agreement is expected to close by early 2017.