Crossbow Technology taken over
The acquisition price of $18 million in cash by MEMSIC is not bad. For Crossbow is at least a success story when compared to some wireless motes companies, particularly those university spawned ones, that hoped to catch the WSN frenzy but folded along the way. Whether this is the exit strategy Crossbow had initially hoped for is hard to say. At least they found a buyer. But this deal also includes business lines which accounted for approximately $10 million in sales annually by Crossbow. Looks like the growth in demand for wireless sensor motes has not been quite as projected years ago. Anyway it is probably best for the Crossbow that the manufacturing, sales and marketing side of the business be in the hands of MEMSIC, who is better at it, while they concentrate on where they initially did best, higher up in the value chain. Make no bones about it, wireless motes will ultimately become low cost commodities. It is going to be tough to keep two conflicting business ambitions running at the same time for any small company. So it is a good move for Crossbow afterall.