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Analog Devices Inc. (ADI) announced that it has signed a definitive agreement with Ikanos Communications Inc. to sell its FUSIV network processor and Asymmetrical Digital Subscriber Line (ADSL) application-specific integrated circuit (ASIC) product line. The divesture is in line with ADI’s strategy of focusing its digital signal processing (DSP) investments in areas where ADI’s signal processing expertise can earn superior returns. This product line currently represents approximately 2 percent of revenue for ADI. The transaction is expected to be complete in the first calendar quarter of 2006 and result in the recognition of a small gain on the sale. “The agreement with Ikanos met our goal of finding a strategic fit for our network processor and ADSL ASIC products to provide ongoing development and support for our customers,” said Brian McAloon, vice president for DSP and Systems Products.
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