Intel acquires Infineon’s Wireless Solutions Business For $1.4 billion
August 30, 2010 at 09:29 AM EDT
You know Infineon , right? They make those tiny baseband chips inside smartphones (like the iPhone 3G). You know, the chips responsible for communicating with the cell towers on your network. Yes? I'm glad we're on the same page. Well, today, Intel bought Infineon's Wireless Solutions Business -- WLS -- for $1.4 billion of your American dollars. Why'd they do it? Well, Intel have been trying to get into the phone CPU market , but are having trouble competing with the likes of Qualcomm and ARM, who are able to offer all the communication options -- that is, WiFi, Bluetooth, GSM, 3G, 4G -- as well as the CPU/GPU, on a single chip. This makes the chips not only smaller (and therefore easier to fit on a logic board), but also more energy efficient.