STMicroelectronics (ST) has successfully completed the acquisition of NXP Semiconductors' Micro-Electro-Mechanical Systems (MEMS) sensor business. The deal, initially announced in July 2025 with a total potential value of up to $950 million, has now received all necessary regulatory approvals.

The acquired portfolio focuses heavily on the automotive sector, including safety-critical sensors for airbags and vehicle dynamics control, monitoring sensors for tire pressure and engine management, as well as pressure sensors and accelerometers for industrial use. This acquisition significantly expands ST's footprint in high-growth sensor markets.

Financially, the acquired business generated approximately $300 million in revenue in 2024. It is expected to be accretive to ST's earnings per share, with an estimated contribution of around $45 million in revenue for Q1 2026. Strategically, the move strengthens ST's MEMS technology roadmap and R&D capabilities, providing access to key intellectual property and specialized talent in automotive safety.

Leveraging ST's established MEMS IDM (Integrated Device Manufacturer) model—which spans design, manufacturing, and packaging—the integration promises faster innovation cycles and enhanced customization. This positions ST to capitalize on the expected growth of MEMS inertial sensors in automotive applications, which is projected to outpace the overall MEMS market.

ICgoodFind : This strategic acquisition allows ST to meaningfully bolster its automotive electronics portfolio, positioning the company to capture a larger share of the rapidly growing MEMS sensor market.