Novosense plans to acquire stake in KT Micro

By PENG Xin

The downward cycle in China’s semiconductor industry has opened the door to a flurry of mergers, acquisitions and alternative forms of engagement.

Novosense Microelectronics plans to acquire a controlling stake in KT Micro, an analog and mixed-signal design company based in Beijing.

KT Micro specializes in analog integrated circuit products, including audio SoC chips and signal chain chips widely used in consumer electronics and communication. The acquisition will help Novosense in wireless connectivity, signal chains and audio.

Novosense was established in 2013 and is a leading player in China’s analog semiconductor market focused on sensors, signal chains and power management.

With China’s analog chip makers trailing global players, the acquisition signals Novosense’s ambition in the semiconductor market. China makes only 12 percent of the analog chips it needs, indicating growth potential for domestic companies.

Other recent acquisitions include Longsys' purchase of Smart Brazil, a global leader in DRAM memory modules and solid-state drives, and its subsidiary Smart Modular, along with 70 percent of component Powertech.

Overall, the semiconductor industry is witnessing a strong-getting-stronger phase globally, with major players like Intel, NVIDIA, and AMD expanding through acquisitions.

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