Intel CEO Brian Krzanich
Intel has bought a 20% share in the China state-owned company, Tsinghua Unigroup, which owns mobile chip developers Spreadtrum and RDA. The two chip companies will now make x86-based mobile ICs.
With China’s mobile IC specialist RockChip already co-developing chips with Intel, Intel has ensured that three of China’s major mobile chip-makers, which used to make ARM-based chips, will now make x86-based chips.
In December 2013, Unigroup bought Spreadtrum for $1.75 billion and in July this year Unigroup bought RDA for $907 million.
“This collaboration and investment will also enhance our ability to support a wider range of mobile customers in China and the rest of the world,” said an Intel spokesperson, “we will be able to deliver a broader portfolio of Intel architecture and communications technology solutions.”
“China is now the largest consumption market for smartphones and has the largest number of Internet users in the world,” said Brian Krzanich, Intel CEO, “these agreements with Tsinghua Unigroup underscore Intel’s 29-year-long history of investing in and working in China. This partnership will also enhance our ability to support a wider range of mobile customers in China and the rest of the world by more quickly delivering a broader portfolio of Intel architecture and communications technology solutions.”
Zhao Weiguo, chairman and president of Tsinghua Unigroup, says, “It has become a national priority of China to grow its semiconductor industry. The strategic collaboration between Tsinghua Unigroup and Intel ranges from design and development to marketing and equity investments, which demonstrate Intel’s confidence in the Chinese market and strong commitment to Chinese semiconductor industry, which will accelerate the technology development and further strengthen the competitiveness and market position of Chinese semiconductor companies.”
Spreadtrum will mske x86-based mobile SoCs coming on the market in H2 2015 to be sold both by Intel and Spreadtrum.
“The adoption of Intel’s architecture technology will enable us to accelerate the development of mobile SoCs that expand the breadth of our portfolio, benefiting handset makers addressing both China and the global market,” said Leo Li, chairman and CEO of Spreadtrum, in a statement. “We are pleased to embark on collaboration with Intel around these new product offerings.”
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