Rumour: Intel to announce Nokia mobile phone deal

Written by Tim Smalley

June 23, 2009 | 12:14

Tags: #atom #phones

Companies: #intel #nokia #tsmc

Intel will hold a conference call this afternoon where Intel's Ultra Mobility honcho Anand Chandrasekher will make an "important announcement" and it looks like the details have leaked out ahead of the call.

According to a Bloomberg report, Intel will announce that it is to supply Nokia with processors for mobile devices - a major breakthrough in the chipmaker's efforts to enter the mobile phone market.

Despite competition from rivals, Nokia is still the world's largest mobile phone manufacturer and even if Intel only manages to get a small piece of Nokia's business, it's still a big deal, claimed Forward Concepts analyst Will Strauss.

In February, the chipmaker announced a partnership with LG Electronics, who will make smartphones based on future Intel Atom processors and Linux Moblin software. The following month, Intel announced collaboration with TSMC to manufacture Atom silicon. Many believe this is Intel's attempt to lower its cost base and compete more readily with chipmakers using ARM-based technology who currently dominate the mobile phone market.

This isn't the first time the two companies will have worked together too, as last month the pair announced an open source mobile phone project designed to bring advanced communication frameworks to Linux.

Intel declined to comment on the Bloomberg report.

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