(Reuters) - Avago Technologies Ltd (AVGO.O) on Thursday agreed to buy Broadcom Corp (BRCM.O) for $37 billion in the largest chip industry deal ever, turning a lesser-known company run by a ferocious dealmaker into one of the biggest industry players.
Demand for cheaper chips and new products to power Internet-connected gadgets is driving consolidation in the semiconductor industry.
Worldwide semiconductor M&A reached $31 billion last year, the most since 2011, according to Thomson Reuters data. In the 12 months through March 2, 472 chip M&A deals were made worldwide, up from 383 in the previous year.
Reporting by Anya George Tharakan and Sai Sachin R in Bengaluru