Proxim offers cash for Agere wireless
LAN equipment biz

By Susan Rush
from CED Broadband Direct, June 17, 2002

Wireless networking equipment maker Proxim Corp. plans to shell out $65 million in cash to acquire Agere Systems' 802.11 wireless local area network equipment business.

Proxim will acquire assets primarily used by Agere in its wireless LAN equipment business, including a range of wireless LAN products used in homes, small offices, enterprises and outdoor environments. The deal does not include Agere's 802.11/Wi-Fi chips, modules and cards business. Agere is holding on to these assets as it narrows its focus to include Wi-Fi components for the emerging wireless computing, networking and entertainment markets.

The companies also have inked a three-year supply pact calling for Agere to provide chips, modules and cards to Proxim.