Boston, MA 12/17/2013 (wallstreetpr) – Intel Corporation (NASDAQ:INTC) is reported to be in a deal with Mindspeed Technologies for the acquisition of wireless assets from the latter.
Acquiring of wireless technology and data centers has been part of Intel Corporation (NASDAQ:INTC)’s plan to build its communication capacity on mobile devices. Sometimes the company acquires business units with promising wireless technology and data centre or it buys intellectual properties related to the same so that it can develop its own capabilities.
In 2011 Intel Corporation (NASDAQ:INTC) acquired wireless division of Infineon Technologies for $1.4 billion. Through this acquisition INTC was able to improve its communications chips capability.
The transaction details in the latest deal with Mindspeed Technologies are still scant, but as usual, it is expected to help INTC in boosting its performance in mobile device data and communications chip building. This will enable it to effectively compete with rivals Mellanox and Qualcomm in the mobile device data center market.
The Mindspeed Technologies deal allows INTC access to a wireless infrastructure together with a team boasting deep experience in the delivery of signal processing and related technologies for mobile devices.
V is joining the mobile chip building business late in the day and it has to wrestle Qualcomm that now controls a bigger share of the market. Taking on Qualcomm requires expanding its production and market share as well as integrating modem technology inside its chips. This is what Qualcomm is already doing.
Currently INTC is offering 3G and LTE modems for mobile devices makers. The company is also developing high speed and energy efficient chips for use in high-end smartphones.
Intel Corporation (NASDAQ:INTC) is the leading manufacturer of processor chips used mainly in PCs and now it is turning its focus to mobile chips as the market is expected to grow as more and more people acquire the small supercomputers in the form of smartphones and tablets.
