Print 14 comment(s) - last by Strunf.. on Aug 31 at 8:09 AM

The iPhone 4's signal processing logic board (seen here) sports an Infineon 36MY1EE. Intel is purchasing Infineon's wireless business and will now take over design and production of these kind of chips.  (Source: ZDNet)
Move may mark the start of the x86 smart phone invasion, though

As previously reported, Intel has been pursuing an acquisition of Infineon Technologies AG's wireless unit.  Infineon AG, spun-off in 1999 from Siemens AG, has seen lots of recent business making broadband signal processing chips for numerous Android smartphones and for the iPhone.

The deal is now official.  Intel plans to close the deal by calendar Q1 2011.  It will purchase Infineon's wireless unit, WLS, for $1.4B USD in cash (a vastly smaller sum than its recent $7.68B USD acquisition of the world's top antivirus software maker, McAfee).

The deal does not include much of Infineon's R&D or fabrication business.  It also does not cover the company's ARM CPU offerings, which it's hoping will soon gain traction in Android smartphones.

The move gives Intel a mobile wireless communications platform, which it can potentially employ with Atom platform x86 processors as part of a system-on-a-chip (SoC) solution for smartphones.  That SoC package could also employ hardware-security using intellectual property from McAfee.

Currently there are no smartphones on sale with x86 processors (current smartphones use the alternative ARM architecture).  Intel hopes to soon change that, and the assets from Infineon help prepare it for its upcoming battle in the smartphone sector.

Intel promises to play fair, though and to continue to support ARM customers like Apple.  The company's press release states, "WLS will operate as a standalone business. Intel is committed to serving WLS' existing customers, including support for ARM-based platform."

The acquisition could also help Intel add wireless 3G or 4G connections to its netbook chipsets.  Infineon and Intel's press release indicates that they are currently gunning for WiMAX as the 4G (fourth generation wireless) technology of choice.  Sprint, the first carrier in the U.S. to deploy a widespread 4G network uses WiMAX, but the nation's top network Verizon is betting on LTE for its 4G effort.  Infineon has also looked into LTE technology in the past.

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RE: well...
By IvanAndreevich on 8/30/2010 6:05:57 PM , Rating: 2
Uhhh what? Intel could still have had performance leadership with Core 2 architecture running @ around 4 GHz (which it's easily capable of). Instead, we are on the respin of Nehalem by now, and getting ready for the next tock in the cycle. Intel has been the one innovating in the CPU arena for a while now.

People will not upgrade to new CPUs if those new CPUs aren't significantly better. Therefore Intel will always compete - against their own older models at the very least.

RE: well...
By ekv on 8/30/2010 11:02:36 PM , Rating: 2
Intel could still have had performance leadership with Core 2 architecture
not quite, but I understand your point. I'm looking forward to AMD offerings but SandyBridge does look impressive. I'm hoping AMD at least closes the gap a healthy fraction.
People will not upgrade to new CPUs if those new CPUs aren't significantly better
I disagree. If there were no AMD, or if Hector RUInZ was still at the helm crippling AMD, then we would still be at the proverbial netburst architecture. Intel would improve their CPU's no doubt, but the rate of improvement would be nowhere near what we have when AMD is at least nipping at Intel's heals. [Which is to say, Intel would have no business reason to improve at a high rate, unless it were for competition; say what you like about Intel, but they've proven capable at business].

RE: well...
By Strunf on 8/31/2010 7:56:41 AM , Rating: 2
If the were no AMD there would be someone else... there are dozens of companies with enough expertise to make CPUs! They don't do it cause Intel and AMD keep developing new products and for them it doesn't pay out in the end.

"It looks like the iPhone 4 might be their Vista, and I'm okay with that." -- Microsoft COO Kevin Turner

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