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It was announced today that Nvidia are to acquire baseband supplier Icera.

At $367 million in cash it isn't as large a purchase as some other recent semiconductor company acquisitions e.g. Qualcomm/Atheros, TI/National but it does have the promise to be a very interesting deal.

With the acquisition it pushes Nvidia into the relatively small group of companies able to supply integrated platform solutions for the smartphone market. It can join the likes of Qualcomm, ST-Ericsson and Intel, amongst others.

Although it probably won't have Qualcomm quaking in its boots quite yet, it will certainly be on their radar, especially as Nvidia has seen significant traction for its Tegra 2 processors in smartphones over the last 12 months.

More details to follow .........