News: Microelectronics
28 October 2025
Skyworks and Qorvo to merge into $7.7bn-revenue RF, analog & mixed-signal semiconductor firm
Skyworks Solutions Inc of Irvine, CA, USA (which manufactures analog and mixed-signal semiconductors) and Qorvo Inc of Greensboro, NC, USA (which provides core technologies and RF solutions for mobile, infrastructure and defense applications) have agreed to merge in a cash-and-stock transaction that values the combined enterprise at about $22bn, creating a US-based supplier of high-performance RF, analog and mixed-signal semiconductors.
“Combining Skyworks’ and Qorvo’s complementary portfolios and world-class engineering teams will strengthen our ability to meet growing customer demand across Mobile and diversified Broad Markets,” believes says Skyworks’ CEO & president Phil Brace. “With enhanced scale, a more diversified customer base and operational synergies, we can bring even greater innovation to our customers and sustainable value to our shareholders,” he adds.
“Qorvo and Skyworks share a culture of innovation and a commitment to solving our customers’ most complex challenges,” says Qorvo’s CEO & president Bob Bruggeworth. “Together with Skyworks, we can accelerate innovation and deliver broader and more comprehensive solutions across numerous growth areas,” he adds. “We are excited to leverage the combined strengths of our teams and product and technology portfolios to build on our capabilities in Mobile and significantly expand our presence in defense and aerospace, edge IoT, AI data-center, automotive and other industries powered by secular growth trends.”
Strategic rationale and transaction highlights
The firms expect the transaction to deliver significant long-term value for customers, employees and shareholders:
- Enhanced scale and financial profile: With combined pro forma revenue of about $7.7bn and adjusted EBITDA of $2.1bn, the combined company should be better positioned to compete against larger players, supported by a stronger, more balanced revenue base that enables more predictable performance, a more efficient cost structure and resilient cash generation through cycles.
- Stronger innovation pipeline: The merger creates a global RF, analog and power technology company that can provide more highly integrated, complete solutions, as well as a broad range of products and technologies. The combined company will bring together about 8000 engineers and technical experts, and over 12,000 issued and pending patents, enabling faster development of advanced, system-level solutions and unlocking new design-win opportunities to meet growing demand, it is expected.
- Creates $5.1bn Mobile business: The merger brings together complementary RF technologies and best-in-class products, expanding opportunities in Mobile while driving greater revenue stability. The broader portfolio is expected to enhance competitiveness across platforms, deepen customer integration and diversify the technology base, while strengthening the combined firm’s position to address rising RF complexity.
- Establishes $2.6bn diversified Broad Markets platform: The transaction creates a $2.6bn Broad Markets platform with a growing and profitable total addressable market (TAM) across defense & aerospace, edge IoT, AI data-center and automotive markets, which are characterized by secular growth trends, long product life-cycles and favorable gross margins.
- Advances domestic manufacturing position and improves utilization: The combined company will strengthen its domestic production capacity and enhance its capital efficiency, supported by a robust network of supply chain partners to meet the needs of high-volume and highly specialized customers.
- Immediately accretive: The transaction is expected to be immediately and meaningfully accretive to non-GAAP EPS post-close, with $500m or more of annual cost synergies within 24-36 months post-close when the companies are fully integrated.
Transaction details
Qorvo shareholders will receive $32.50 in cash and 0.960 of a Skyworks common share for each Qorvo share held at the close of the transaction, which implies a combined enterprise value of about $22bn.
Skyworks shareholders will own about 63% of the combined company, while Qorvo shareholders will own about 37%, on a fully diluted basis. Phil Brace will serve as CEO, while Bob Bruggeworth will join the board of directors of the combined company. The board will comprise 11 directors: eight from Skyworks and three from Qorvo.
Skyworks plans to fund the cash portion of the transaction using a combination of cash on hand and additional financing. It has obtained debt financing commitments from Goldman Sachs Bank USA. The transaction is not subject to any financing conditions. The combined company’s net leverage at closing is expected to be approximately 1.0x last-twelve-month adjusted EBITDA. It is reckoned that this capital structure will allow for continued investments in the business to drive shareholder value.
Timing and approvals
The boards of directors of both companies have unanimously approved the transaction, which is expected to close in early 2027, subject to the receipt of required regulatory approvals, approval from both firms’ shareholders, and the satisfaction of other customary closing conditions. Starboard Value LP, an approximately 8% shareholder of Qorvo, has signed a voting agreement in support of the transaction.
Skyworks names Phil Carter as CFO
Skyworks’s June-quarter revenue, gross margin and EPS exceed guidance
Qorvo quarterly profits grow year-on-year as it sheds low-margin business
Qorvo appoints two independent directors as David H. Y. Ho retires from board
Philip Brace to succeed Liam K. Griffin as president & CEO of Skyworks
