STMicroelectronics, a global leader in semiconductors, has announced its plan to acquire the MEMS sensors division of NXP Semiconductors. This strategic move will enhance ST’s capabilities in the sensor space, particularly in automotive safety and industrial applications, and broaden its existing MEMS product portfolio. The deal is aimed at unlocking new growth avenues across automotive, industrial, and consumer electronics.
Marco Cassis, President of ST’s Analog, Power & Discrete, MEMS and Sensors Group, commented, “This acquisition is a strong strategic addition to our current MEMS offerings. The complementary nature of NXP’s technologies and customer relationships, particularly in automotive and industrial segments, will bolster our global sensor footprint. With ST’s end-to-end development model—from research and product design to manufacturing—we are well-positioned to deliver added value to customers worldwide.”
Jens Hinrichsen, Executive Vice President and General Manager, Analog and Automotive Embedded Systems at NXP, said, “NXP has built a successful business around automotive MEMS motion and pressure sensors. However, following a strategic review, we’ve concluded this line of business no longer aligns with our long-term direction. We believe STMicroelectronics offers the right environment for the MEMS team and product line to thrive, both technically and commercially.”
The acquisition includes a wide range of sensor technologies, including passive and active automotive safety sensors (such as those used in airbags and vehicle stability systems), tire pressure monitoring systems (TPMS), sensors for engine and vehicle security, and pressure and acceleration sensors for industrial use. ST will benefit from established relationships with key automotive Tier 1 suppliers, enabling it to further expand in the fast-growing automotive MEMS space.
Market forecasts indicate that automotive MEMS inertial sensors are poised to grow faster than the overall MEMS sector, driven by rising demand for advanced safety, electrification, and connected vehicle technologies. The acquired business generated approximately $300 million in revenue in 2024, and is expected to positively contribute to ST’s earnings per share upon closing, with healthy gross and operating margins.
The acquisition will enhance ST’s innovation roadmap, supported by top-tier intellectual property, product lines, and expert R&D personnel. The company’s integrated development and manufacturing model will accelerate the time-to-market for new MEMS solutions and allow greater flexibility to serve diverse customer needs.
Under the terms of the agreement, ST will acquire the business for up to $950 million in cash—$900 million payable at closing and an additional $50 million tied to the achievement of technical milestones. The transaction will be funded through ST’s existing cash reserves and is expected to close in the first half of 2026, subject to regulatory approvals and customary closing conditions.
STMicroelectronics employs around 50,000 people and supports over 200,000 customers across multiple industries. The company focuses on products that improve energy efficiency, mobility, and connectivity. ST is working toward full carbon neutrality in its operations and aims to use 100% renewable electricity by 2027.
