The parent company of Oslo, Norway-based, low-power wireless chip supplier Chipcon AS has acquired San Diego, Calif.-based start-up Figure 8 Wireless, a developer of ZigBee-ready software and firmware. Consequently, Figure 8 Wireless now becomes a wholly owned subsidiary of Chipcon Group ASA and will continue to focus on ZigBee solutions and support all current customers going forward. Thus, while working to create an integrated ZigBee platform with Chipcon, it will continue to support other existing ZigBee players like Atmel and Freescale Semiconductor.

Chipcon and Figure 8 Wireless will have a common global presence for its one-stop ZigBee solution with direct sales and support operations in Europe, North America and Asia. Combining the strengths of the two companies, this acquisition will enable Chipcon AS to provide a complete ZigBee end-to-end solution comprising radio, software, development tools and reference designs, said the Chipcon Group ASA.

With this merger, Figure 8 is expecting to grow substantially this year. Joe Markee, president and CEO of Figure 8 Wireless is expecting its revenues to grow from just $600,000 last year to nearly $4 million in 2005. Besides more revenue from royalties due to ZigBee chip sales ramping up, it is also expecting growth from higher adoption rate, training, support and sale of software development tools. Markee will continue his role as president of Figure 8 Wireless, and Don Sturek will become CTO, Software.

Meanwhile, based on 0.18-micron CMOS, Chipcon is in the process of developing a highly integrated ZigBee solution with an on-chip RF transceiver and 8051 MCU core. It is expected to be unveiled in spring this year.

Last month, the ZigBee Alliance ratified the first ZigBee specification, making the development and deployment of power-efficient, cost-effective, low data rate monitoring, control and sensing networks a reality, thereby giving the technology a shot in the arm.

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