UK-based CSR, better known as Cambridge Silicon Radio, is to close its digital TV-on-a-chip business. As a result some 400 jobs will go globally. 400 jobs have already gone since September as the company aims to reduce headcount from 3,200 at the end of September 2012 to 2,400 by the second quarter of 2012.
CSR says that its TV division was originally acquired when it merged with video and imaging technology company Zoran (in August 2011). CSR is quoted on the London Stock Exchange and is part of the FTSE 250 Index.
The closure will save some £38 million (€45.2 million) in operating costs, but will cost £6.4m to finance. Joep van Beurden, chief executive, said, “We continue to take a disciplined approach to capital allocation and cost control. We have decided to withdraw investment from the DTV SoC and silicon tuner businesses and are focusing our investment where we have a strong position in platforms in the areas of voice & music, automotive infotainment, cameras, document imaging, gaming and Bluetooth low energy. The actions we have announced today will allow us to increase our focus on the areas of the business that offer the best prospects for delivering sustained and profitable growth.”
The company expects to have around 2,400 personnel worldwide at the end of the second quarter 2012 and had around 3,200 personnel at the end of September 2011.
CSR continues to expect Q4/2011 revenues to be in line with previous guidance, in the range of £147 million to £159 million.