Seeq Technology
| File:LSI-Logic-Logo.svg | |
| Company type | Subsidiary |
|---|---|
| Nasdaq: LSI | |
| Industry | |
| Founded | November 1980, in Santa Clara, California, U.S. |
| Founders | Wilfred Corrigan Bill O’Meara Rob Walker Mitchell "Mick" Bohn |
| Defunct | Template:End date and age |
| Fate | Acquired by Avago Technologies, now Broadcom Inc. |
| Headquarters | San Jose, California, U.S. |
| Revenue | Template:US$ (2012) |
Number of employees | 5,080 (2012) |
| Parent | Broadcom Inc. |
| Website | Template:Web archive |
LSI Logic Corporation was a U.S.-based semiconductor enterprise established in Santa Clara, California, known as an innovator within the fields of ASIC and EDA. The company specialized in producing semiconductors and software designed to improve storage and networking capabilities in data centers, mobile communication networks, and client computing devices.
In April 2007, LSI Logic combined with Agere Systems and adopted the name LSI Corporation.
On May 6, 2014, Avago Technologies (currently operating as Broadcom Inc.) completed the acquisition of LSI Corporation for $6.6 billion.
1981–2004
Founded in November 1980 by Wilfred J. Corrigan, LSI Logic Corporation commenced operations in early 1981 in Santa Clara, California. The acronym "LSI" stood for Large Scale Integration. Corrigan brought on board co-founders Bill O'Meara (VP Marketing and Sales), Rob Walker (VP Engineering), and Mitchell "Mick" Bohn (CFO). The initial capital injection of $6 million was secured from venture capital firms such as Kleiner Perkins Caufield & Byers II, Institutional Venture Partners, and Technical Development Capital Ltd. A subsequent funding round in March 1982 raised $16 million from Sequoia Capital, UK financiers, and First Interstate Bank.
Initially, the company concentrated on CMOS gate arrays produced from externally sourced “masterslices,” with customization of metallization carried out internally. To expedite growth, LSI licensed a CMOS gate array design from California Devices Inc. and reverse-engineered an ECL gate array originally developed by Motorola.
LSI created the LSI Design System (LDS), an interactive computer-aided design (CAD) platform integrating simulation and place-and-route functionalities. Unlike many competitors who kept their software proprietary, LSI distributed its tools to customers. By 1988, there was rising demand for compatibility with third-party EDA software.
The company experienced rapid revenue growth, culminating in an initial public offering on Nasdaq on May 13, 1983. The IPO raised $153 million at $21 per share, valuing the firm at $588 million under the ticker symbol LLSI.
During the mid-1980s, LSI extended its global reach by establishing subsidiaries in Japan (Nihon LSI Logic Corporation), the United Kingdom (LSI Logic Ltd), and Canada (LSI Logic Corporation of Canada). In 1985, it entered a joint venture with Kawasaki Steel to construct a $100 million wafer fabrication facility located in Tsukuba, Japan.
LSI was among the founding members of SEMATECH in 1987 but exited the consortium in 1992 due to unmet expectations.
In December 1987, MIPS Computer Systems licensed LSI Logic to manufacture R2000 and R3000 chipsets and to implement the MIPS I instruction set architecture within ASICs. Subsequently, in March 1988, LSI agreed to produce SUN Microsystems' SPARC RISC microprocessor.
October 1988 saw LSI acquire a controlling interest in Video Seven Inc., a designer and manufacturer of PC graphics boards. By April 1989, LSI merged its G-2 Inc PC chipset division with Video Seven to create Headland Technology Inc., led by founder Bill O'Meara.
The company's stock listing transitioned to the New York Stock Exchange in October 1989 under the symbol LSI.
In July 1991, a collaboration between LSI and Sanyo Electric aimed at developing integrated circuits capable of converting HDTV signals into television images.
July 1992 marked the introduction of CoreWare subsystems within LSI’s ASIC design methodology.
Sony Computer Entertainment selected LSI as its ASIC partner for the PlayStation CPU project in 1993. Utilizing CoreWare technology enabled integration of the CPU onto a single chip. Additionally, LSI engineers developed critical components such as PlayStation’s graphics engine, DMA controller, I/O interfaces, and bus controllers.
By 1995, LSI had acquired full ownership of its Canadian subsidiary. In 1997, it purchased Mint Technology, a company specializing in engineering services.
In August 1998, LSI acquired Symbios Logic from Hyundai Electronic for $760 million in cash. This was followed by the February 1999 acquisition of Seeq Technology for $106 million in stock, which added Ethernet physical-layer technologies to its portfolio.
In January 2000, LSI launched a $50 million venture fund focused on startups within communications technology. That May saw the acquisition of IntraServer for $70 million to broaden its customer base.
November 2000 brought the purchase of Syntax Systems; by August 2001 these entities were consolidated into LSI Logic Storage Systems (later renamed Engenio Information Technologies).
In March 2001, LSI acquired C-Cube Microsystems for $878 million in stock to strengthen its video compression capabilities. Later that year in September, it purchased American Megatrends’ RAID adapter division for $221 million cash, acquiring MegaRAID software intellectual property along with associated products.
A partnership formed with Storage Technology Corporation in January 2002 enabled distribution of co-branded storage solutions. In August that year, acquisition of IBM’s Mylex division further enhanced storage technology offerings.
In November 2003, LSI divested its Tsukuba wafer fabrication plant to ROHM Company for $23.5 million.
Engenio filed for an initial public offering in 2004 but withdrew due to unfavorable market conditions following the dot-com crash.
2005 to 2014
In May 2005, Abhi Talwalkar, who previously held an executive role at Intel, was appointed president and CEO of LSI Logic and joined its board of directors. Wilfred Corrigan, who had been CEO and Chairman since 1981, stepped down from the CEO position in mid-2005 but continued as Chairman until May 2006.
In April 2006, LSI divested its design and manufacturing facility located in Gresham, Oregon, selling it to ON Semiconductor for $105 million. Later that year, in October, LSI entered into an all-stock merger agreement with Agere Systems, valuing the transaction at approximately $4 billion.
LSI broadened its enterprise storage offerings by acquiring SiliconStor Inc. in March 2007 for around $55 million. The merger with Agere Systems was finalized in April 2007, after which the company adopted the name LSI Corporation.
Magnum Semiconductor purchased LSI’s consumer products segment along with about 13% of its workforce—including the DoMiNo and Zevio technology architectures—in July 2007. The following month, LSI sold its semiconductor assembly and testing operations in Pathumthani, Thailand to STATS ChipPAC Ltd for $100 million.
In October 2007, LSI acquired Tarari, a firm specializing in silicon and software solutions, for $85 million. That same month, the company sold its Mobility Division to Infineon Technologies for €330 million, transferring roughly 700 employees as part of the deal.
In April 2009, LSI expanded its RAID adapter business by purchasing 3ware from Applied Micro Circuits Corporation. Subsequently, in July 2009, it acquired ONStor, a vendor specializing in Network Attached Storage (NAS), for $25 million.
LSI sold its Engenio external storage systems unit to NetApp in March 2011 for $480 million; this division had reported revenues of $705 million during 2010.
In January 2012, LSI acquired SandForce, a producer of flash memory controllers, for $370 million. Utilizing SandForce’s technology, LSI launched its Nytro series of PCIe application acceleration cards designed for data center servers in April of that year.
By December 2012, LSI shifted its stock exchange listing from the New York Stock Exchange to the NASDAQ Global Select Market.
On December 16, 2013, Avago Technologies announced an all-cash acquisition of LSI Corporation valued at $6.6 billion. This transaction was completed on May 6, 2014.