Infineon Technologies AG has already started the process to acquire Cypress Semiconductor Corporation that aims to open up great potential in high-growth target markets such as in the automotive and internet of things (IoT). Infineon will offer US$23.85 per share, corresponding to an enterprise value of €9 billion.

With the addition of Cypress, Infineon will strengthen its focus on structural growth drivers and serve a broader range of applications. Cypress has a differentiated portfolio of microcontrollers as well as software and connectivity components that are complementary to Infineon's leading power semiconductors, sensors and security solutions.

Combining these technology assets will enable comprehensive advanced solutions for high-growth applications. In automotive semiconductors, the expanded portfolio of microcontrollers and NOR flash memories will offer great potential.

Estimates show the transaction will make Infineon the number eight chip manufacturer in the world.