Feeds

Fujitsu, NEC, Docomo team up on mobile chip dev

No room for Samsung and Panasonic this time

Maximizing your infrastructure through virtualization

Japanese tech giants Fujitsu and NEC have decided to team up with the country’s largest mobile operator Docomo on a joint venture to develop smartphone chips, in a bid to become more self-sufficient in semiconductors.

Access Network Technology Limited was established by Fujitsu and the firm will retain the lion’s share of ownership at 52.8 per cent. Fujitsu Semiconductor will take a further 9.5 per cent share, while Docomo (19.9 per cent) and NEC (17.8 per cent) will split the rest between them.

The firms want to be able to capitalise on the rapid expansion of the global smartphone market and increasing data traffic volumes without relying on third party mobile chip makers like undisputed leader Qualcomm, which has a 50 per cent market share by revenue.

In a brief statement the new partners said decided they'd be better off pooling IP in order to “develop industry-leading communications platform products”.

It won’t be a massive leap of faith for the firms, given that they already work together to produce chips for their phones.

However, the joint venture will not only develop “semiconductor products with built-in modem functions” for use in their own phones but will also look to sell internationally.

The venture’s 85 employees, headquartered in Kanagawa Prefecture, will focus on design and development, meaning production of the chips is likely to be outsourced.

The venture follows an unsuccessful attempt by the firms, plus Samsung and Panasonic, to strike a similar deal to develop LTE chipsets earlier this year.

In the end that was shelved because of disagreements between the various parties.

The promise of greater self-reliance when it comes to chip development is obviously a big draw for the firms, and given Qualcomm’s recent admission of supply problems with its 28nm Snapdragon chips, it’s not hard to see why. ®

The Power of One Infographic

More from The Register

next story
BBC goes offline in MASSIVE COCKUP: Stephen Fry partly muzzled
Auntie tight-lipped as major outage rolls on
There's NOTHING on TV in Europe – American video DOMINATES
Even France's mega subsidies don't stop US content onslaught
You! Pirate! Stop pirating, or we shall admonish you politely. Repeatedly, if necessary
And we shall go about telling people you smell. No, not really
Airbus promises Wi-Fi – yay – and 3D movies (meh) in new A330
If the person in front reclines their seat, this could get interesting
UK Parliament rubber-stamps EMERGENCY data grab 'n' keep bill
Just 49 MPs oppose Drip's rushed timetable
Want to beat Verizon's slow Netflix? Get a VPN
Exec finds stream speed climbs when smuggled out
Samsung threatens to cut ties with supplier over child labour allegations
Vows to uphold 'zero tolerance' policy on underage workers
Dude, you're getting a Dell – with BITCOIN: IT giant slurps cryptocash
1. Buy PC with Bitcoin. 2. Mine more coins. 3. Goto step 1
prev story

Whitepapers

Reducing security risks from open source software
Follow a few strategies and your organization can gain the full benefits of open source and the cloud without compromising the security of your applications.
Consolidation: The Foundation for IT Business Transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.
Application security programs and practises
Follow a few strategies and your organization can gain the full benefits of open source and the cloud without compromising the security of your applications.
Boost IT visibility and business value
How building a great service catalog relieves pressure points and demonstrates the value of IT service management.
Consolidation: the foundation for IT and business transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.