Intel to buy Infineon's wireless solutions business
Intel to boost smartphone technology with $1.4 billion acquistion of Infineon's wireless solutions business
Intel is set to buy the wireless solutions division of Infineon for around $1.4 billion, to boost its capabilities in the smartphone market.
The all-cash deal will transfer Infineon's Wireless Solutions Business, called WLS, to Intel, giving the chip giant Infineon's baseband processor technology, an important component in connectivity for mobile phones.
WLS will remain as a standalone business unit, and will continue to support industry customers with ARM processor based products and Intel-based application processor platforms with 3G solutions.
Paul Otellini, president and CEO of Intel said in a statement: "The global demand for wireless solutions continues to grow at an extraordinary rate. The acquisition of Infineon's WLS business strengthens the second pillar of our computing strategy - Internet connectivity - and enables us to offer a portfolio of products that covers the full range of wireless options from Wi-Fi and 3G to WiMAX and LTE.
"As more devices compute and connect to the Internet, we are committed to positioning Intel to take advantage of the growth potential in every computing segment, from laptops to handhelds and beyond," he added.
WLS today holds leading positions in the field of wireless mobility and cellular platforms for smart phones and ultra-low-cost, entry phones. WLS provides baseband processors, radio-frequency transceivers, power management integrated circuits (ICs), additional connectivity features, single-chip solutions as well as the corresponding system software. Infineon will now concentrate on growth in core sectors of Automotive (ATV), Industrial & Multimarket (IMM) and Chip Card & Security (CCS), said Peter Bauer, CEO, in a statement.
The deal follows Intel's announcement earlier this month that will buy security specialist McAfee for $7.68 billion.