Intel will invest nearly $1.5 billion for picking up around 20 percent stake in Tsinghua Unigroup which owns Spreadtrum Communications and RDA Microelectronics.
The Intel strategy is to expand the product offerings and adoption for Intel-based mobile devices in China and worldwide by jointly developing Intel Architecture and communications-based solutions for mobile phones.
Both Spreadtrum and RDA develop mobile chipset platforms for smart phones, feature phones and other consumer electronics products, supporting 2G, 3G and 4G wireless standards.
“China is now the largest consumption market for smartphones and has the largest number of Internet users in the world,” said Brian Krzanich, Intel CEO.
Spreadtrum Communications and Intel will jointly create and sell a family of Intel Architecture-based system-on-chips (SoCs).
Intel said initial products will be available beginning in the second half of next year and will be Intel Architecture-based SoCs sold by both companies.
Recently, Intel, a Santa Clara, California based American multinational semiconductor chip maker, received approval from Israel’s Finance and Economy Ministries to invest $6 billion to remodel and increase growth of its chip manufacturing plant in Kiryat Gat.
Baburajan K
editor@telecomlead.com
