The acquisition that you're talking about, and we don't know if it's been finalized or not, is only $2 million dollars. A tiny gamble, and if it works it gets them into a new product segment -- chips for low end android devices. I assume that the other engineers they're hiring are also oriented around new products that we don't know the specifics of. It would be stupid of them to publicly tell all of their new product plans.
mp3 and multimedia chips are a cheap commodity business, so finding new product segments and entering new markets is a smart move. With the number of new engineers they've picked up in the past year or two, I assume they're planning something big. Also, note that the CEO has only had the position for 11 months now.