DSP Group
DSP Group was an American semiconductor company that developed chipsets for telephony, digital cordless communications, VoIP, and residential multimedia devices.
Last updated August 31, 2026
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Overview
DSP Group, Inc. was an American semiconductor and communications-technology company founded in 1987 by Davidi Gilo. Headquartered in San Jose, California, the company designed integrated circuits and related technology for residential communications equipment, including digital cordless phones, VoIP terminals, connected multimedia screens, and broadband communication devices. Its work centered on digital signal processing and communications silicon rather than consumer-facing finished products, making DSP Group primarily a business-to-business component supplier. The company established an early technical position in telephony. In 1989 it developed what is described as the world's first telephony answering-device speech processor, helping define its initial focus on specialized speech and communications processing. DSP Group later expanded beyond answering-device technology into cordless communications. In 1999 it acquired Advanced Micro Devices' 900 MHz cordless technology, which supported the development of narrow-band 900 MHz products and later 2.4 GHz multi-handset systems. DSP Group also helped create and finance businesses that became significant in adjacent communications markets. In 1993, co-founder and chief technology officer Shabtai Adlersberg left to establish AudioCodes, with initial investment from DSP Group. AudioCodes subsequently became a VoIP-technology provider and went public on NASDAQ in 1999. DSP Group sold its remaining AudioCodes holdings in 2004, realizing a substantial profit on the investment. In 1996, the company separated its cellular-chip design and development division into DSP Communications, or DSPC. Intel acquired DSPC in 1999 for approximately US$1.6 billion. DSP Group's intellectual-property licensing division was later combined with Parthus Technologies in 2002 to create CEVA, Inc. The company continued broadening its residential communications portfolio through acquisitions and internal development. It entered multimedia communications through the 2003 acquisition of Teleman Multimedia. Technology obtained through VoicePump and Bermai helped it combine VoIP and Wi-Fi capabilities, and in 2006 DSP Group developed a chipset integrating DECT cordless technology, Wi-Fi, and an application processor for residential broadband multimedia products. In 2007 it acquired NXP Semiconductors' cordless and VoIP terminals business, reinforcing its position in communications silicon. DSP Group's principal business areas were connected multimedia screens, VoIP cordless phones, and digital cordless products. Its technology was associated with standards and industry bodies including DECT, ETSI, CAT-iq, the Wi-Fi Alliance, CableLabs, and the Home Gateway Initiative. Before its acquisition, the company employed more than 400 people across three United States sites and offices in Germany, Scotland, Israel, India, Hong Kong, and Japan. DSP Group became a publicly traded company through a NASDAQ initial public offering in 1994. On August 30, 2021, Synaptics announced an agreement to acquire DSP Group. Following the acquisition, DSP Group ceased to operate as an independent publicly traded company. Its historical significance lies in the development and commercialization of communications chipsets and in its role as an early incubator and investor in companies such as AudioCodes, DSP Communications, and CEVA.
History
DSP Group was established in 1987 in the United States by Davidi Gilo and other founders, with its principal base eventually located in San Jose, California. Its early business was built around digital signal processing for telecommunications. In 1989 the company developed a speech processor for telephony answering devices, an important early application of its technology. During the 1990s, DSP Group expanded through capital-market activity and corporate separation. Davidi Gilo served as chief executive and chairman until 1993. That year, co-founder and chief technology officer Shabtai Adlersberg established AudioCodes with initial funding from DSP Group. AudioCodes later became a major VoIP technology provider and completed a NASDAQ offering in 1999. DSP Group itself went public on NASDAQ in 1994. In 1996, DSP Group spun out its cellular chip design and development division as DSP Communications, commonly known as DSPC. DSPC also became publicly traded that year. Intel acquired DSPC in 1999 for approximately US$1.6 billion, separating a major part of DSP Group's cellular semiconductor legacy into Intel. DSP Group also expanded its cordless business in 1999 by acquiring Advanced Micro Devices' 900 MHz technology. That technology supported 900 MHz narrow-band cordless products and subsequent 2.4 GHz multi-handset systems. DSP Group's intellectual-property activities led to another significant corporate development. In November 2002, its IP licensing division was combined with Ireland-based Parthus Technologies to create CEVA, Inc. The company then broadened its operating focus toward residential multimedia and broadband communications. In 2003 it acquired Teleman Multimedia. It also obtained VoIP and Wi-Fi technology through the acquisitions of VoicePump and Bermai. These assets contributed to a 2006 chipset platform that combined DECT cordless technology, Wi-Fi, and an application processor for residential multimedia communications over broadband. In 2007, DSP Group acquired NXP Semiconductors' cordless and VoIP terminals business. This reinforced its role as a supplier of integrated circuits for digital cordless phones, VoIP cordless phones, connected multimedia screens, and related residential communication equipment. The company's ecosystem included participation in the DECT Forum, the European Telecommunications Standards Institute, CAT-iq working groups, the Wi-Fi Alliance, CableLabs, and the Home Gateway Initiative. Before its acquisition, DSP Group employed more than 400 people across three US sites and offices in Germany, Scotland, Israel, India, Hong Kong, and Japan. Its business remained focused on communications components and platforms rather than consumer retail products. On August 30, 2021, Synaptics announced that it would acquire DSP Group. The transaction ended DSP Group's existence as an independent public company and placed its technology and operations within Synaptics.
- 2021
Synaptics announces acquisition
[1]Synaptics announces its agreement to acquire DSP Group, ending the company's independent status.
- 2007
NXP cordless and VoIP terminals business acquired
[1]DSP Group acquires NXP Semiconductors' cordless and VoIP terminals business.
- 2006
DECT and Wi-Fi multimedia chipset
[1]DSP Group develops a chipset integrating DECT, Wi-Fi, and an application processor for broadband residential multimedia.
- 2003
Teleman Multimedia acquisition
[1]DSP Group acquires Teleman Multimedia as part of its move into multimedia communications.
- 2002
CEVA is formed
[1]DSP Group's IP licensing division and Parthus Technologies are combined to form CEVA.
- 1999
Intel acquires DSP Communications
[1]Intel purchases DSP Communications for approximately US$1.6 billion.
- 1996
DSP Communications is spun off
[1]The cellular chip design and development division is separated into DSP Communications.
- 1994
NASDAQ initial public offering
[1]DSP Group becomes a publicly traded company through an offering on NASDAQ.
- 1989
Telephony answering-device processor developed
[1]DSP Group develops an early speech processor for telephony answering devices.
- 1987
DSP Group is founded
[1]Davidi Gilo and other founders establish DSP Group as a communications semiconductor company.
Products and positioning
A specialist business-to-business semiconductor supplier focused on low-power digital signal processing and communications silicon for residential telephony, cordless devices, VoIP, broadband multimedia, and connected-home equipment.
Telecommunications semiconductors · 1989
Telephony answering-device speech processors
DSP Group's early products included specialized speech-processing silicon for telephony answering devices. The technology applied digital signal processing to voice recording and playback functions and helped establish the company as a supplier of purpose-built communications chips.
Cordless communications · 1999
Digital cordless chipsets
The digital cordless portfolio supported residential cordless phones and multi-handset systems. After acquiring AMD's 900 MHz technology in 1999, DSP Group developed narrow-band 900 MHz products and expanded into 2.4 GHz systems.
Cordless communications
DECT and CAT-iq solutions
DSP Group supplied integrated-circuit technology for DECT-based residential communications and participated in ETSI and CAT-iq industry activities. These solutions were used as building blocks for cordless phones, broadband voice equipment, and connected-home devices.
Broadband multimedia semiconductors · 2006
Residential multimedia chipsets
The company's residential multimedia platforms combined communications functions such as DECT and Wi-Fi with application-processing capability. They were intended for connected screens and broadband home devices requiring voice, wireless networking, and multimedia features in one platform.
Voice-over-IP semiconductors
VoIP terminal chipsets
DSP Group developed chipsets and related technology for VoIP cordless phones and terminal equipment. Its portfolio expanded through VoIP technology acquisitions and the 2007 purchase of NXP's cordless and VoIP terminals business.
Brand decisions
2021
Agree to acquisition by SynapticsM&ABackground
DSP Group operated as a communications-chip supplier serving residential and connected-device markets.
Action taken
Synaptics announced an agreement to acquire DSP Group on August 30, 2021.
Aftermath
DSP Group ceased to operate as an independent public company and became part of Synaptics.
2002
Combine IP licensing division with Parthus TechnologiesM&ABackground
DSP Group combined its intellectual-property licensing activities with Parthus Technologies to create a separate semiconductor intellectual-property company.
Action taken
The merged business became CEVA, Inc.
Aftermath
CEVA developed as an independent provider of licensable processor and communications technology.
1996
Spin off the cellular-chip divisionStrategyBackground
DSP Group separated its cellular chip design and development activities into a new company, DSP Communications, as an independently financed and publicly traded business.
Action taken
The cellular division was spun out as DSP Communications, which later attracted Intel as an acquirer.
Aftermath
DSP Communications was acquired by Intel in 1999 for approximately US$1.6 billion.
Acquisition value. Approximately US$1.6 billion (1999)
Recent events
Synaptics completes acquisition of DSP Group[2]
Reported:
Synaptics announced that it completed its approximately $549 million cash acquisition of DSP Group.
Synaptics announces agreement to acquire DSP Group[3]
Reported:
Synaptics announced that it had signed a definitive agreement to acquire Israeli chipmaker DSP Group for $22 per share, valuing the company at $540 million. The transaction was subject to DSP Group shareholder approval and customary closing conditions, with closing projected by the end of 2021.
Sources3 sources
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