<div id="readability-page-1"><article>Acquisition Adds Indium Phosphide Optoelectronic Devices Including Lasers and Gain Chips CAMARILLO, Calif.--(BUSINESS WIRE)--Semtech Corporation (Nasdaq: SMTC), a leading provider of high-performance semiconductor, Internet of Things (IoT) systems and cloud connectivity service solutions, today announced the acquisition of HieFo Corporation (HieFo), a California-based private manufacturer of high-efficiency Indium Phosphide (InP) optoelectronic devices for optical transceivers used across data center interconnects (DCI) and intra-data center interconnects.The addition of HieFo to Semtech’s portfolio of semiconductor solutions bolsters U.S. technology supply chains, adding new capacity and resiliency at a key inflection point in the AI infrastructure buildout. The transaction also represents a compelling opportunity to infuse critical upstream components for the optical module supply chain directly into Semtech's growing data center platform, adding another vital element to its expansive chipset portfolio for data center networking connectivity.“The evolution to 1.6T and 3.2T data center architectures represents a fundamental shift in optical interconnect complexity,” said Hong Hou, president and CEO of Semtech. “By combining HieFo’s proven InP technology, including lasers and gain chips, with Semtech’s industry-leading TIAs and laser drivers, we can offer customers a comprehensive solution for next-generation optical platforms, including co-packaged optics (CPO) or near-packaged optics (NPO), strengthening Semtech’s position as a leader in high-bandwidth, low-power and low-latency networking solutions. Equally important, we believe strongly in the people and domestic capabilities we are bringing into Semtech through this acquisition, and we are committed to investing in their growth and success.”HieFo SolutionsHieFo continues to develop innovative and power efficient optoelectronic component solutions to serve AI connectivity markets, leveraging more than four decades of innovation in optoelectronic devices. HieFo’s core technology centers on InP-based gain chips and distributed feedback (DFB) laser chips. Gain chips are the light-emitting building blocks embedded within tunable lasers that power coherent optical transceivers used across data center applications. In addition, HieFo’s DFB laser platform offers best-in-class power and wall plug efficiency over temperature for intensity-modulation direct-detection (IMDD) links used in optical transceiver modules.By acquiring HieFo, Semtech gains the ability to co-develop and co-optimize InP optoelectronic chip performance alongside its industry-leading transimpedance amplifiers (TIAs) and laser/modulator drivers, creating an optimized electronic-optoelectronic-photonic chipset for high bandwidth transceivers. This level of integration enables tighter performance optimization across the laser-modulator-driver interface, reduces system power consumption, and offers differentiated products for hyperscalers, navigating the demanding requirements of 1.6T and next-generation 3.2T optical modules.Financial DetailsSemtech acquired HieFo Corporation for approximately $34 million in cash. To meet significantly growing demand from numerous hyperscalers and other customers across the AI ecosystem, Semtech has initiated an investment and hiring plan at HieFo’s Alhambra, California site to expand domestic manufacturing capacity and accelerate product development. Integration of HieFo into Semtech’s operations is underway, with the transaction expected to be accretive to non-GAAP diluted earnings per share within the first year.Regulatory ApprovalThe transaction was reviewed by and received the non-objection of the Committee on Foreign Investment in the United States, in compliance with the Presidential order of Jan. 2, 2026, regarding HieFo.Semtech at OFC 2026Customers and partners are invited to visit Semtech at booth #1812 during OFC 2026, Mar. 17–19, 2026 in Los Angeles, California, to meet with Semtech’s technical experts. Schedule a meeting or learn more at www.semtech.com.Forward-Looking StatementsThis press release contains “forward-looking statements” within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995, as amended, based on the Company's current expectations, estimates and projections about the pending acquisition as well as its operations, industry, financial condition, performance, results of operations, and liquidity. Forward-looking statements are statements other than historical information or statements of current condition and relate to matters such as expectations related to the acquisition of HieFo Corporation, including the anticipated benefits of the acquisition, investment and integration plans and accretion expectations with respect to the transaction. Statements containing words such as “may,” “believes,” “see,” “anticipates,” “expects,” “intends,” “positions,” “plans,” “projects,” “objectives,” “estimates,” “develops,” “should,” “could,” “will,” “designed to,” “projections,” or “outlook,” or other similar expressions constitute forward-looking statements.Forward-looking statements involve known and unknown risks and uncertainties that could cause actual results and events to differ materially from those projected. Potential factors that could cause actual results to differ materially from those in the forward-looking statements include, but are not limited to: costs and uncertainties associated with the integration of HieFo’s operations, including the Company’s ability to retain employees, uncertainties about the Company’s ability to successfully integrate HieFo’s product lines with its products, and the risk that the anticipated benefits of the acquisition may not be fully realized or may take longer to realize than expected. Additional risks and uncertainties affecting the Company and its operations that could also cause actual results to differ materially from those in the forward-looking statements include: the volatility of our financial results or impact of the cyclical nature of our industry, including during industry downturns or due to periodic economic uncertainty; the historical rapid decrease of the average selling prices of certain products; disruptions in U.S. or foreign government operations, funding or incentives; changes in export restrictions and laws affecting the Company's trade and investments, including tariffs or retaliatory tariffs; interruption or loss of supplies or services from the limited number of suppliers and subcontractors we rely upon; our suppliers' manufacturing capacity constraints or other supply chain disruptions; failure to successfully develop and sell new products, meet new industry standards or requirements or anticipate changes in projected or end market users; failure to adequately protect our intellectual property rights; failure to make the substantial investments in research and development that are required to remain competitive in our business or to properly anticipate competitive changes in the marketplace; the likelihood of our products being found defective or risk of liability claims asserted against us; business interruptions, such as natural disasters, acts of violence and the outbreak of contagious diseases; adverse changes to general economic conditions in China; the loss of any one of our small number of customers or failure to collect a receivable from them; competition from new or established IoT, cloud services and wireless service companies or from those with greater resources; and the other risks and uncertainties contained in the risk factors disclosed in the Company's filings with the Securities and Exchange Commission (the “SEC”), including the Company's Annual Report on Form 10-K for the fiscal year ended January 26, 2025, filed with the SEC on March 25, 2025 as such risk factors may be amended, supplemented or superseded from time to time by subsequent reports the Company files with the SEC. In light of the significant risks and uncertainties inherent in the forward-looking information included herein that may cause actual performance and results to differ materially from those predicted, any such forward-looking information should not be regarded as representations or guarantees by the Company of future performance or results, or that its objectives or plans will be achieved or that any of its operating expectations or financial forecasts will be realized. Reported results should not be considered an indication of future performance. Investors are cautioned not to place undue reliance on any forward-looking information contained herein, which reflect management's analysis only as of the date hereof. These forward-looking statements speak only as of the date hereof. Except as required by law, the Company assumes no obligation to publicly release the results of any update or revision to any forward-looking statement that may be made to reflect new information, events or circumstances after the date hereof or to reflect the occurrence of unanticipated or future events, or otherwise.About Semtech CorporationSemtech Corporation (Nasdaq: SMTC) is a high-performance semiconductor, IoT systems, and cloud connectivity service provider dedicated to delivering high-quality technology solutions that enable a smarter, more connected, and sustainable planet. Our global teams are committed to empowering solution architects and application developers to develop breakthrough products for the infrastructure, industrial and consumer markets. To learn more about Semtech technology, visit us at Semtech.com or follow us on LinkedIn or X.SMTC-F<img src="https://imageproxy.pbkrs.com/https://cts.businesswire.com/ct/CT/query-ZGlzdHJvPW54JmlkPWJ3bmV3cyZsYW5nPWVuJnNpZD1hY3FyOCZzdHk9MjAyNjAzMDM0NDQxMzhyMQ?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" original-src="https://imageproxy.pbkrs.com/https://cts.businesswire.com/ct/CT/query-ZGlzdHJvPW54JmlkPWJ3bmV3cyZsYW5nPWVuJnNpZD1hY3FyOCZzdHk9MjAyNjAzMDM0NDQxMzhyMQ"/>View source version on businesswire.com: https://www.businesswire.com/news/home/20260303444138/en/Investors: Mitch Haws, webir@semtech.com Media: Michelle Lozada, pr@semtech.comSource: Semtech Corporation</article></div>

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Semtech Corporation has acquired HieFo Corporation for approximately $34 million, enhancing its data center portfolio with high-efficiency Indium Phosphide optoelectronic devices. This acquisition aims to strengthen U.S. technology supply chains and support the growing demand for AI infrastructure. Semtech plans to invest in HieFo's manufacturing capacity and product development, with integration expected to positively impact earnings within the first year. The transaction has received regulatory approval and aligns with Semtech's strategy to offer comprehensive solutions for next-generation optical platforms.

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Semtech Expands Data Center Portfolio with Acquisition of HieFo Corporation | SMTC Stock News