IBM sells switches to AMCC

IBM has sold its PowerPRS (Packet Routing Switch) product line to San Diego, CA-based Applied Micro Circuits Corporation for approximately $47 million.

IBM has sold its PowerPRS (Packet Routing Switch) product line to San Diego, CA-based Applied Micro Circuits Corporation (AMCC) for approximately $47 million.

In addition, IBM and AMCC are following local legal requirements and due processes regarding the sale to AMCC of certain related assets of La Compagnie IBM France, a French affiliate of IBM, for approximately $3 million.

IBM, currently an AMCC vendor, will manufacture the PowerPRS product line for AMCC as part of its foundry business.

Currently in its fifth generation of products, IBM’s PRS product line is designed into numerous leading OEM systems that are now in production and ramping to volume, according to AMCC.