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East Asian chip venture dissolves

The smartphone processor market is looking a little less competitive than it did at the beginning of the year. A team of heavy-hitters in the semiconductor industry is scrapping plans to team up to produce mobile microprocessors. Fujitsu Limited, Fujitsu Semiconductor Limited, NEC Corporation, Panasonic Mobile Communications Co., Ltd. and Samsung Electronics Co., Ltd. all signed an agreement late last year with mobile operator NTT DoCoMo.

NTT DoCoMo wanted to establish a fabless semiconductor venture to create small, high-power mobile processors for smartphones and tablets, with a focus on chips for LTE and LTE-Advanced standards. If successful, the Asian venture could have probably fielded some significant competition for companies like Qualcomm, Broadcom and nVidia, which have dominated the mobile processor space to date. But apparently it was hard for the players to agree on how to divide the research, production, compensation, or all of the above. NTT DoCoMo had said it wanted a plan for how the company would operate by the end of March, and since no consensus was reached by that deadline it is dissolving the venture.

ABOUT AUTHOR

Martha DeGrasse
Martha DeGrassehttp://www.nbreports.com
Martha DeGrasse is the publisher of Network Builder Reports (nbreports.com). At RCR, Martha authored more than 20 in-depth feature reports and more than 2,400 news articles. She also created the Mobile Minute and the 5 Things to Know Today series. Prior to joining RCR Wireless News, Martha produced business and technology news for CNN and Dow Jones in New York and managed the online editorial group at Hoover’s Online before taking a number of years off to be at home when her children were young. Martha is the board president of Austin's Trinity Center and is a member of the Women's Wireless Leadership Forum.