View source for Company:Freescale Semiconductor

{{Short description|Former American semiconductor company}}
{{Infobox company
| name             = Freescale Semiconductor, Inc.
| logo             = Freescale.svg
| type             = Public
| foundation       = [[Finance:Corporate spin-off|Spin-off]] from [[Company:Motorola|Motorola]] in  {{Start date and age|2004}}
| fate             = Merged, {{end date and age|2015|12|7}}
| successor = NXP Semiconductors
| location_city    = {{wipe|Austin, Texas}}
| location_country = {{wipe|United States}}
| key_people       = Greg Lowe, [[Company:CEO|CEO]]<ref name=10K/><br />
| num_employees    = 16,800 <small>(2013)</small><ref name=10K>{{cite web|url=https://www.sec.gov/Archives/edgar/data/1392522/000139252214000002/a2013123110k.htm |title=2013 Form 10-K, Freescale Semiconductor|publisher=U.S. Securities and Exchange Commission}}</ref>
| industry         = [[Physics:Semiconductor|Semiconductor]]s
| products         = 
| revenue          = {{increase}}$4.186 billion (2013)<ref name=10K/>
| operating_income = {{increase}}$531 million (2013)
| net_income       = {{decrease}}-$208 million (2013)
| homepage         = {{URL|freescale.com}} (Redirects to www.nxp.com)
}}

[[File:Freescale.jpg|thumb|right|250px|Freescale Semiconductor Logo.]]

'''Freescale Semiconductor, Inc.''' was an American [[Physics:Semiconductor|semiconductor]] manufacturer. It was created by the divestiture of the Semiconductor Products Sector of [[Company:Motorola|Motorola]] in 2004.  Freescale focused their [[Engineering:Integrated circuit|integrated circuit]] products on the automotive, [[Embedded system|embedded]] and communications markets. It was bought by a private investor group in 2006, and subsequently merged into NXP Semiconductors in 2015.<ref>[http://www.rttnews.com/2588463/nxp-semiconductors-and-freescale-semiconductor-close-merger.aspx NXP Semiconductors And Freescale Semiconductor Close Merger] RTTNews. Retrieved on December 13, 2015.</ref>

==History==

=== Divesture from Motorola and first IPO ===
As of 2003, Motorola Semiconductor Products Sector earned US$5.0 [[Billion|billion]] in semiconductor sales in 2002 (out of US$27 billion sales for all of Motorola).<ref>[http://www.motorola.com/mediacenter/news/detail.jsp?globalObjectId=3414_2824_23 press release: "Integrated Security Added to Motorola’s High-performance PowerQUICC™ III Processor Family"] Motorola 2003; [http://www.symbian.com/news/pr/2003/pr20032970.asp press release: "Motorola Semiconductor and Symbian launch 2.5G and 3G reference designs"]{{Dead link|date=April 2023 |bot=InternetArchiveBot |fix-attempted=yes }} Symbian 2002</ref>

Motorola announced that their semiconductor division would be divested on October 6, 2003, to create Freescale.

Freescale completed its [[Finance:Initial public offering|Initial public offering]] (IPO) on July 16, 2004, at a price of US$13. In its announcement, it estimated the stock price to be US$17.50- 19.50 but following a cooling of the market towards tech stocks, it lowered its price to US$13. Existing shareholders of Motorola stock received 0.110415 shares of Freescale stock for every share of Motorola stock as a dividend which was distributed on December 2, 2004.<ref>[http://media.corporate-ir.net/media_files/irol/90/90829/reports/112604infoformot.pdf Motorola Shareholder Letter]</ref>

=== Buyout ===
On September 15, 2006, Freescale agreed to accept a [[Finance:Buyout|buyout]] for the sum of $17.6 billion ($40 per share) by a consortium led by the Blackstone Group. Share prices of $13 at the July 2004 IPO had risen to $39.35 in afterhours trading that Friday when the news, rumored that week, broke. A special shareholders meeting on November 13, 2006, voted to accept the buyout offer. The purchase, which closed on December 1, 2006, is reportedly the largest private buyout of a technology company and one of the ten largest buyouts of all time.<ref>[http://www.theregister.co.uk/2006/09/15/freescale_accepts_takeover_offer/ Freescale sells itself for $17.6bn cash – or more] 15th September 2006</ref><ref>[http://www.thestreet.com/_googlen/newsanalysis/techsemis/10313043.html Freescale Took Scenic Buyout Route] October 4, 2006</ref><ref>[http://www.microcontroller.com/news/freescale_buyout.asp Freescale Semiconductor Bought Out by Blackstone for $17.6Billion] September 25, 2006</ref><ref>[https://archive.today/20120713221803/http://phx.corporate-ir.net/phoenix.zhtml?c=196520&p=irol-newsArticle&ID=937966 Consortium of Private Equity Firms Completes Acquisition of Freescale Semiconductor] December 1, 2006</ref>

=== Second IPO ===
Freescale filed to go public again on February 11, 2011, and completed its IPO on May 26, 2011. Freescale was traded on the New York Stock Exchange under the [[Ticker symbol|ticker symbol]] FSL. At the time of the IPO, the company had $7.6 billion in outstanding debt on its books,<ref name="Freescale Debt">{{cite news |url=https://www.usatoday.com/USCP/PNI/Business/2012-05-17-PNI0517biz-freescale_ST_U.htm |title=Freescale Debt}}</ref> and the company was investigated for misconduct related to this IPO.<ref>Freescale Investigation{{cite web |url=https://www.bloomberg.com/apps/news?pid=conewsstory&tkr=1FS:GR&sid=axxV2sAk7vDI |title=Holzer Holzer & Fistel, LLC Announces Investigation into Freescale Semiconductor Holdings I, LTD |publisher=Reuters |date=October 5, 2011 |access-date=March 16, 2012 |archive-url=https://web.archive.org/web/20131104215923/https://www.bloomberg.com/apps/news?pid=conewsstory&tkr=1FS:GR&sid=axxV2sAk7vDI |archive-date=2013-11-04 |url-status=dead}}</ref>

=== MH370 ===
On March 8, 2014, Freescale announced that 20 of its employees were lost aboard Malaysia Airlines Flight 370.<ref>{{cite journal |last=Team Register |date=March 9, 2014 |title=20 Freescale staff on vanished Malaysia Airlines flight MH370 |journal=The Register |url=https://www.theregister.co.uk/2014/03/09/20_freescale_employees_missing_on_mh370/ |access-date=August 28, 2016}}</ref>

== Products==

=== Automotive ===
MSG (Micro-controller Solutions Group) is the largest business unit within Freescale and is currently the largest semiconductor supplier to the {{wipe|Automotive industry}}. Modern cars use electronics to manage the engine for peak performance and to reduce emissions, and Freescale is the largest supplier of engine system microcontrollers in the world. Automotive safety systems such as [[Engineering:Anti-lock braking system|anti-lock]] brakes and [[Engineering:Airbag|airbag]]s also use [[Engineering:Microcontroller|microcontroller]]s and analog power management circuits from Freescale. Freescale also produces a range of integrated sensor products such as [[Physics:Accelerometer|accelerometer]]s and [[Physics:Pressure sensor|pressure sensor]]s.{{citation needed|date=July 2020}}

Freescale's SMARTMOS analog portfolio provides power actuation and multiple switch detect interface family ICs and system basis chips for hybrid vehicles.<ref>{{Cite web |url=http://www.freescale.com/files/shared/doc/selector_guide/SG2027.pdf?WT_TYPE=Selector%20Guides&WT_VENDOR=FREESCALE&WT_FILE_FORMAT=pdf&WT_ASSET=Documentation |title=Archived copy |access-date=2020-07-07 |archive-date=2011-06-07 |archive-url=https://web.archive.org/web/20110607135029/http://www.freescale.com/files/shared/doc/selector_guide/SG2027.pdf?WT_TYPE=Selector%20Guides&WT_VENDOR=FREESCALE&WT_FILE_FORMAT=pdf&WT_ASSET=Documentation |url-status=dead }}</ref>

In November 2008 Freescale announced that the company would collaborate with McLaren Electronic Systems to further develop its KERS system for McLaren's Formula One car from 2010 onwards. Both parties believed this collaboration would improve McLaren's KERS system and help the system filter down to road car technology.<ref>[http://www.autosport.com/news/report.php/id/72085 McLaren to work with Freescale on KERS] November 12, 2008</ref>

=== Other business units ===
Besides MSG business group, Freescale other major semiconductor businesses are the NMG (Networking and Multimedia Group) as well as RASG (RF, Analog and Sensors Group). Freescale, under the guidance of IBM, had also been a source of [[PowerPC]] microprocessors (ICs) for Apple Computer's PowerBooks and Mac mini products until the Mac transition to Intel processors in 2006. They joined Power.org in 2006 as a founding member to develop and promote the use of [[Power Architecture]].

DragonBall is a low power derivation of the earlier Motorola 68000 family microprocessors. Freescale also has a portfolio of Digital Signal Processor (DSP) products based on StarCore Technology. Freescale's DSPs are being used in Broadband Wireless, Voice Over IP and video infrastructure systems.

== Litigation ==
Freescale was sued by Marvell Semiconductor for infringing seven patents. The case was settled in 2015.<ref>{{cite web |url=https://portal.unifiedpatents.com/litigation/Texas%20Western%20District%20Court/case/1:13-cv-00005 |title=Marvell Semiconductor, Inc. et. al. v. Freescale Semiconductor, Inc. patent lawsuit |publisher=Unified Patents portal |access-date=2019-06-24}}</ref>

Freescale lost a patent infringement lawsuit filed by [[Company:Xperi|Tessera Corporation]] and was forced to pay an undisclosed amount as part of the settlement.<ref>[https://www.businesswire.com/news/home/20130827005541/en/Tessera-Freescale-Settle-Litigation Tessera and Freescale Settle Litigation]. Business Wire (August 27, 2013). Retrieved on 2019-04-26.</ref>

==Merger==
A merger agreement with NXP Semiconductors was announced in March 2015, to form a {{US$|40|2015}} billion company.<ref name="nxp-merger">{{cite web|url=http://www.nxp.com/news/press-releases/2015/03/nxp-and-freescale-announce-40-billion-merger.html|title=Media Center-NXP|website=www.nxp.com|access-date=October 4, 2017}}</ref><ref>{{cite web|url=http://otp.investis.com/clients/us/free_scale/usn/usnews-story.aspx?cid=896&newsid=28737|title=NXP and Freescale Announce $40 Billion Merger|website=otp.investis.com|access-date=October 4, 2017|archive-url=https://web.archive.org/web/20171004085649/http://otp.investis.com/clients/us/free_scale/usn/usnews-story.aspx?cid=896&newsid=28737|archive-date=October 4, 2017|url-status=dead}}</ref> The acquisition closed on December 7, 2015.<ref>{{Cite web|date=2015-12-07|title=NXP closes deal to buy Freescale and create top auto chipmaker|url=https://www.cnbc.com/2015/12/07/nxp-closes-deal-to-buy-freescale-and-create-top-auto-chipmaker.html|access-date=2021-05-31|website=CNBC|language=en}}</ref><ref>{{Cite web|date=2015-03-02|title=NXP Semiconductors to Acquire Freescale for $11.8 Billion|url=https://www.bloomberg.com/news/articles/2015-03-02/nxp-semiconductors-to-acquire-freescale-for-11-8-billion|access-date=2021-06-03|website=Bloomberg.com}}</ref>

==See also==
*ON Semiconductor, another Motorola semiconductor spinoff
*List of Freescale products

==References==
{{Reflist}}

==External links==
*[https://web.archive.org/web/20150629022659/http://www.freescale.com/ 2015 Archive of Corporate website]


[[Category:Defunct computer hardware companies]]

{{Sourceattribution|Freescale Semiconductor}}