TriQuint Semiconductor is to buy a substantial portion of Agere Systems'optoelectronics business for $40mn in cash. The transaction includes products, technology and some facilities. The products include lasers, detectors, modulators, passive components, arrayed waveguide-based components, amplifiers, transmitters, receivers, transceivers, transponders, and MEMS (micro-electro-mechanical systems).

As part of the deal, approximately 300 Agere research and development,
process engineering, marketing, product management and assembly and test
employees will join TriQuint. The companies anticipate closing the sale in
early January 2003, subject to regulatory approval and other customary
closing conditions.
The agreement does not include components for CATV (cable television)
transmission systems for which Agere is continuing to pursue a buyer. Agere
announced in August 2002 that it was seeking a buyer for all or parts of
this business, and exiting the optoelectronics business as part of its
corporate restructuring.
Agere will supply components for TriQuint for a short period following the
transaction closing, under a transitional manufacturing agreement. Agere
currently manufactures the majority of these components at a facility in
Pennsylvania that TriQuint will acquire following the transition period.
TriQuint will also buy Agere's back-end assembly and test operation in
Mexico.