Cypress Semiconductor is acquiring Broadcom’s IoT division for $550m in cash, including the WICED brand and the IoT-focused WiFi and Bluetooth assets, as well as the ZigBee and 6LoWPAN products. The Broadcom IoT division comprises some 430 staff, and generated $189m in revenues in the past year. But the deal indicates that the new Broadcom wants to shed some of the low margin chips that will comprise the bulk of IoT shipment volumes. Since Avago acquired Broadcom and assumed its name, there has been an internal review of both firms’ products as part of a rationalization exercise to improve profits an focus. Cypress is hoping the deal will strengthen its presence in key embedded markets, including automotive and industrial, as…