Bluetooth Specialist CSR Adds GPS Capabilities

JogjaTechno - British microchip designer CSR Group Plc said on Monday it would make an all-in-one GPS (global positioning system) and Bluetooth chip for mobile gadgets after it bought up two GPS specialists.

CSR said it would make single Bluetooth and GPS chips after it acquired Swedish firm NordNav for $40 million and Cambridge Positioning Systems for $35 million.

It will pay a further $35 million if NordNav hits agreed targets.

Chief executive John Scarisbrick told reporters the super-sensitive technology would be far more effective than traditional GPS, would be usable indoors and would open up new possibilities such as devices allowing parents accurately to track children’s whereabouts and ways for emergency services to locate casualties.

Scarisbrick said adding GPS to a Bluetooth chip would cost only an extra $1 as opposed to around $5-$10 for existing separate GPS chips, while firm’s mobile handset customers had already expressed an interest in the new chips.

“We know handset makers are enthusiastic about GPS at a lower price point and we are confident we will see in the number of handsets featuring GPS.”

“It can work indoors and deep urban areas so we believe it will be very popular with device makers.”

CSR said the both deals would be paid for using existing cash.

It expects to launch its first GPS products during the first half of the year and anticipates both acquisitions will improve earnings in 2008.

// January 16th, 2007