6:00 AM EDT, August 23, 2024 | Source: Sequans Communications
Strengthens Qualcomm's Industrial IoT portfolio, delivering low-power solutions that deliver reliable, optimized cellular connectivity for IoT applications
Extends and accelerates Qualcomm's leadership position in digital transformation at the Edge
Sequans will continue to license 4G IoT technology and will continue to serve the IoT market with its strengthened balance sheet.
Seconds will retain full ownership of its 5G technology
Paris, France and San Diego, California–(Newsfile Corp. – August 23, 2024) – Qualcomm Incorporated (NASDAQ: QCOM), a global leader in high performance, low power solutions, through its subsidiary Qualcomm Technologies, Inc. (“Qualcomm”), today announced that it has signed a definitive agreement with Sequans Communications SA (NYSE: SQNS), a supplier of 4G and 5G semiconductor solutions for the Internet of Things (IoT), under which Qualcomm will acquire Sequans' 4G IoT technology. The acquisition includes certain employees, assets and licenses. The transaction is subject to customary closing conditions, including French regulatory approval.
Qualcomm is revolutionizing industries, redefining business models and enhancing user experiences through cutting-edge IoT solutions. Qualcomm® IoT technologies and solutions leverage the intelligent edge, connected to the real world, to deliver end-to-end, ready-to-deploy solutions that enable customers to digitally transform their businesses to optimize operations, monetize massive amounts of data, innovate in new ways and drive cost savings.
Sequans designs, develops and supplies cellular semiconductor solutions for large-scale and critical IoT markets. The addition of Sequans' 4G IoT technology to Qualcomm's advanced end-to-end IoT solutions strengthens Qualcomm's industrial IoT portfolio and creates a unique opportunity to establish a leadership position in this space.
“Digital transformation is being driven by high-performance processing and intelligence at the edge, and Qualcomm is positioned to grow in one of the largest addressable opportunities,” said Nakul Duggal, group general manager, automotive, industrial and embedded IoT and cloud computing, Qualcomm Technologies. “This acquisition of Sequans' 4G IoT technology expands Qualcomm's broad portfolio and will further enable us to offer enterprise customers low-power solutions for reliable, optimized cellular connectivity for industrial IoT applications.”
Sequans will retain full rights to continue to commercially exploit the technology through a perpetual license agreement, supporting the expansion of its 4G business and its ability to develop its 5G portfolio.
“We are pleased to announce this important transaction with Qualcomm. This agreement highlights the value of our 4G IoT technology and provides the company with significant capital to continue to further invest in our IoT ambitions,” said George Karam, CEO of Sequans. “We are committed to pushing the boundaries of innovation to deliver cutting-edge 4G/5G semiconductor solutions that meet the evolving needs of AI-powered Internet of Things applications. We expect this transaction will provide us the resources and flexibility to enhance our product offerings and expand our market presence.”
About Qualcomm
Qualcomm is relentlessly innovating to deliver intelligent computing everywhere, helping the world address some of its greatest challenges. Our proven solutions drive transformation in major industries, and our Snapdragon® branded platforms enable extraordinary consumer experiences. Building on nearly 40 years of leadership in setting industry standards and creating era-defining technology innovations, we deliver cutting-edge AI, high-performance, low-power computing and unmatched connectivity. Together with our ecosystem partners, we are enabling the next generation of digital transformation to enrich lives, improve business and advance society. At Qualcomm, we engineer human progress.
Qualcomm Incorporated includes our licensing business, QTL and the majority of our patent portfolio. Qualcomm Incorporated's subsidiary, Qualcomm Technologies, Inc., together with its subsidiaries, operates substantially all of our engineering and research and development functions and substantially all of our products and services businesses, including our QCT semiconductor business. Snapdragon and Qualcomm branded products are products of Qualcomm Technologies, Inc. and/or its subsidiaries. Qualcomm patented technology is licensed by Qualcomm Incorporated.
About Seconds
Sequans Communications SA (NYSE: SQNS) is a leading semiconductor company specializing in wireless cellular technologies for the Internet of Things (IoT). Our engineers design and develop innovative, secure and scalable technology that powers the next generation of connected devices. We offer a broad range of solutions including chips, modules, IP and services. Our Monarch ® (NB-IoT/LTE-M), Calliope (LTE Cat-1/Cat-1bis) and Taurus (5G NR) platforms are optimized for IoT and deliver breakthrough advances in wireless connectivity, power efficiency, security and performance.
Founded in 2003, Sequans is headquartered in France and operates globally with offices in the US, UK, Israel, Hong Kong, Singapore, Finland, Taiwan and China.
Forward-Looking Statements
This press release contains statements that may be deemed, or are deemed to be, forward-looking statements regarding the financial condition, results of operations and/or business of Sequans and Qualcomm following the closing of the transaction. These forward-looking statements include, but are not limited to, statements regarding the satisfaction of the closing conditions to the proposed transaction, the expected completion of the proposed transaction, the timing and benefits thereof, and other statements that are not historical facts. These forward-looking statements can be identified by the fact that they do not relate to historical or current facts. In addition, forward-looking statements often use words such as “anticipate,” “target,” “continue,” “estimate,” “expect,” “predict,” “intend,” “may,” “plan,” “goal,” “believe,” “hope,” “aim,” “continue,” “may,” “plan,” “should,” “will” and other words of similar meaning. These statements are based on assumptions and assessments made by Sequans or Qualcomm in light of its experience, historical trends, current conditions, future developments and other factors believed appropriate. Forward-looking statements, by their nature, involve risks and uncertainties because they relate to events and depend on circumstances that will occur in the future. In addition, the factors described in the context of the forward-looking statements in this announcement could cause actual results or developments to differ materially from those expressed or implied in the forward-looking statements. Although the expectations reflected in the forward-looking statements are believed to be reasonable, no assurance can be given that the expectations will prove to be correct. You are therefore cautioned not to place undue reliance on forward-looking statements, which speak only as of the date of this announcement.
Forward-looking statements are not guarantees of future performance. Such forward-looking statements involve known and unknown risks and uncertainties that could materially affect expected results and are based on certain key assumptions. Such risks and uncertainties include, but are not limited to, the possibility of failing to satisfy the conditions to the closing of the proposed transaction due to failure to obtain necessary regulatory or other approvals, the outcome of any litigation that may be instituted against Sequans and/or others in connection with the transaction, potential adverse effects or changes in business relationships resulting from the announcement or consummation of the proposed transaction, significant or unexpected costs, charges or expenses resulting from the proposed transaction, and the negative effect that this announcement or the consummation of the proposed transaction may have on the market price of Sequans' ADSs and ordinary shares. Many factors could cause actual results to differ materially from those projected or implied in the forward-looking statements. Factors that could cause actual results to differ materially from those described in the forward-looking statements include, but are not limited to, changes in global, political, economic, business and competitive environments, and market and regulatory forces. If any of these risks or uncertainties materialize, or if any of the assumptions prove incorrect, actual results may vary materially from those expected, estimated or projected. Accordingly, such forward-looking statements should be interpreted in light of such factors. A more complete description of these and other material risks can be found in Sequans' filings with the Securities and Exchange Commission (SEC), including its Annual Report on Form 20-F for the year ended December 31, 2023, any subsequent filings on Form 6-K and other documents that may be filed from time to time with the SEC, and in Qualcomm's filings with the SEC, including its most recent Annual Report on Form 10-K and any subsequent periodic reports on Form 10-Q and Form 8-K. Sequans' and Qualcomm's respective filings with the SEC are available on the SEC's website at www.sec.gov. Because of such uncertainties and risks, readers are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date of this announcement. Neither Sequans nor Qualcomm undertake any obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable law.
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Source: Sequans Communications
