Cancelling the echo

Chip vendor Texas Instruments has acquired Ditech Communications Corporation’s Telinnovation echo-cancellation software unit for $26.8 million.

As a result of the acquisition, TI will provide customers with complete hardware and software carrier-class platforms that combine its digital signal processors (DSPs) and Telogy Software products with echo-cancellation technology.

As part of the agreement, Ditech has secured a license to implement the Telinnovation software on its echo cancellation systems, including enhancements made by TI to the echo cancellation algorithms. The agreement also calls for joint marketing and sales efforts.

Echo-cancellation software algorithms are embedded in programmable DSPs to eliminate the echo effect caused by signal reflections of the speaker’s voice as it crosses a variety of voice transmission systems.

Dr. Charles Davis, Ditech’s chief technology officer will join TI and continue to lead the echo-cancellation software team. Prior to joining Ditech, Dr. Davis led Telinnovation Service Corporation, which Ditech acquired in February 2000.

The acquired unit will become part of the Broadband Communications Group within TI’s semiconductor business. The echo-cancellation team will remain in Silicon Valley, moving into an existing TI facility.