Fujitsu, Docomo, NEC ally in smartphone chip business

PTI Updated - August 01, 2012 at 07:38 PM.

Telecom companies Fujitsu Ltd., NEC Corp. and NTT Docomo Inc. will jointly develop and sell semiconductors for smartphone data transmissions, a market dominated by Qualcomm Inc. of the USA where demand is outstripping supply, corporate sources said today.

Docomo and NEC will buy into a new Fujitsu subsidiary that will develop chips for high-speed mobile data transmissions to be sold to handset makers, the sources said.

According to sources, Docomo and NEC will acquire an equity stake of just under 20 percent each in the new company, Access Network Technology Ltd., which was formed today by Fujitsu in Kawasaki, near Tokyo.

Fujitsu will own a little over 50 percent of the new firm and Fujitsu Semiconductor Ltd. a little less than 10 percent, according to the sources.

Published on August 1, 2012 14:08