February 4, 2026 – Today’s announcement that Texas Instruments has entered into a definitive agreement to acquire Silicon Labs in an all-cash transaction valued at approximately $7.5 billion in enterprise value.
Under the terms of the agreement, Silicon Labs stockholders will receive $231.00 per share in cash. The transaction has been unanimously approved by the boards of directors of both companies and is expected to close in the first half of 2027, subject to regulatory approvals and customary closing conditions, including approval by Silicon Labs stockholders. Texas Instruments expects to fund the acquisition using a combination of cash on hand and debt financing, with no financing contingency.
The acquisition brings together Texas Instruments’ scale in analog and embedded processing, along with its internally owned manufacturing footprint, with Silicon Labs’ portfolio and expertise in low-power mixed-signal and embedded wireless connectivity solutions. The combined company is expected to emerge as a global leader in embedded wireless connectivity, a segment experiencing sustained growth as more devices across industrial, automotive, IoT, and smart infrastructure markets become connected.
According to the companies, the transaction expands Texas Instruments’ portfolio by approximately 1,200 wireless connectivity products, supporting a broad range of standards and protocols. A key strategic element is the planned transition of Silicon Labs’ products from external foundries to Texas Instruments’ internally owned manufacturing capacity, including 300mm wafer fabs in the United States, as well as internal assembly and test operations. Texas Instruments’ defined process technologies, including 28nm, are described as well-aligned with Silicon Labs’ wireless portfolio, potentially enabling more efficient future design cycles and improved supply assurance.
The combined company also expects to benefit from deeper customer engagement through Texas Instruments’ direct sales model, global customer relationships, and digital commerce infrastructure, creating cross-sell opportunities across the expanded embedded and connectivity portfolio.
Texas Instruments expects the transaction to be accretive to earnings per share (excluding transaction-related costs) in the first full year following closing. The company also indicated an anticipated ~$450 million in annual manufacturing and operational synergies within three years post-close. Texas Instruments reaffirmed its long-standing capital return strategy of returning 100% of free cash flow to shareholders over time through dividends and share repurchases.
From an ecosystem perspective, the transaction highlights several ongoing trends in the semiconductor industry:
For fabless companies, system designers, and foundry partners, the acquisition underscores the strategic value of alignment between IP, process technology, manufacturing access, and go-to-market reach.
AnySilicon will continue to monitor the impact of this transaction on the broader semiconductor ecosystem, including implications for embedded roadmaps, wireless connectivity platforms, and foundry engagement models.
