Irvine-based Broadcom Corp. is all set to buy the digital TV chip business of Advanced Micro Devices Inc. for about $192.8 million in cash.

Advanced Micro Devices is an American semiconductor company based in Sunnyvale, California. The company’s TV chips receive over-the-air broadcasts and process the signals to improve picture quality. They are used in flat-panel and
rear-projection sets. Customers of the AMD include Sony Corp. and Samsung Group.

AMD is selling the unit of its business to reduce debt and improve profitability, according to Dirk Meyer,  President and Chief Executive.

“AMD is executing a strategic plan to transform the company, becoming leaner and more focused while seeking to create a business model to deliver sustainable profitability,” Meyer said.

The acquisition is expected to complete in the fourth quarter of this year. As part of the deal, about 530 AMD employees in six design centers around the world are going to join Broadcom.

According to Senior Vice President and General Manager of Broadcom, Daniel Marotta, the unit “will become the core of Broadcom’s DTV line of business.”

Broadcom Corp. is a chip maker which designs chips for networking equipment and cell phones, that already makes digital TV processors and receivers. The recent deal is a part of its expansion program of the business providing chips to makers of digital TVs, the company said.

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