AMD Deals DTV Biz to Broadcom

AMD, who's been looking for a buyer for its ATI digital TV business since earlier this year, has found a buyer: Broadcom, eWeek reports. Broadcom is paying AMD about $192.8 million in cash in the deal.

What is Broadcom getting? From the press release:

In connection with the transaction, approximately 530 members of AMD's dedicated DTV team, in addition to certain employees directly supporting this team, located in six primary design centers around the world, will be invited to join Broadcom. AMD's DTV product line includes all Xilleon integrated DTV processors and complete turnkey reference designs, as well as NXT receiver ICs, the Theater 300 DTV processor, and a line of panel processors that perform advanced motion compensation, frame rate conversion and scaling.

The acquisition of the former ATI DTV business looks like a win for both sides, according to analysts quoted by eWeek. Broadcom expands its already-impressive chipset portfolio (which is already way beyond the communication chips that inspired the company's name), while AMD is able to further concentrate on x86 processors and GPUs.

Can Broadcom make it work, when AMD couldn't? According to EDN's Suzanne Deffree, "Broadcom is stellar at integrating in acquired companies. Its M&A skills are a big part of what have built the company into the top industry player it is today."

So, how do you feel about Broadcom's picking up the old ATI DTV biz? Are you happy that AMD can focus on CPUs and GPUs, or do you think that digital convergence is taking a step back? Hit the comment button and let us have your (virtual) two cents' worth.