Arteris announced a definitive agreement to acquire Cycuity, Inc. for a total consideration of up to $45 million, comprising cash, shares, and a performance‑based earn‑out tied to Cycuity’s 2026 results. The transaction is expected to close in the first quarter of Arteris’ fiscal year 2026.
The deal combines Cycuity’s Radix hardware‑security assurance platform with Arteris’ network‑on‑chip (NoC) interconnect IP, creating a unified solution that protects data movement across chiplets and system‑on‑chips. By embedding security verification earlier in the silicon design cycle, the partnership addresses side‑channel attacks, unsecured interconnects, and supply‑chain gaps that are becoming critical as AI workloads and edge devices grow in complexity.
Arteris’ most recent quarterly results show revenue of $17.4 million, up 18 % year‑over‑year, and a non‑GAAP net loss of $3.8 million ($0.09 per share). Management guided full‑year 2025 revenue to $66 million–$70 million and narrowed the non‑GAAP operating loss to $8.5 million–$12.5 million, reflecting confidence in continued demand for its core IP and the added value of Cycuity’s security technology.
The acquisition expands Arteris’ addressable market and positions it against competitors such as Xilinx and Cadence in the semiconductor security space. Management highlighted the growing demand for integrated security solutions, noting that the combined portfolio will enable chip designers to secure data movement across the entire silicon stack, from IP blocks to firmware.
"In today’s world, where vast amounts of data are traversing every SoC and chiplet, the need for hardware security is at an inflection point," said Arteris President and CEO K. Charles Janac. "Cycuity’s technology complements our NoC IP and accelerates the secure design and deployment of microelectronics for commercial and defense teams," added Cycuity CEO Andreas Kuehlmann. Investors reacted with caution, reflecting concerns about integration costs and valuation, but the long‑term outlook remains positive as the combined entity targets a growing semiconductor security market.
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