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Nokia and Qualcomm drop chip bombshell

By CAROLINE GABRIEL

Published: 17 February, 2009

READ MORE: Nokia | Qualcomm | Semiconductor

Continued ...

But for now, the deal is based on the Qualcomm MSM7000 and MSM8000 chipsets for W-CDMA and the HSPA family, and so will target AT&T and T-Mobile primarily. There is no doubt the balance of power has shifted, likely hastening Texas Instruments' exit even from the custom baseband business, which is dependent on Nokia. The fact that Broadcom has now been added to the UMTS pile hurts the newly formed ST Ericsson, or at least offers a second source as a counter balance against its dominance.

"Nokia is very pleased to be in discussions with Qualcomm around designing mobile devices that can benefit from the high level of integration found on MSM chipsets," said Kai Oistamo, executive VP of devices at Nokia. "We are eager to demonstrate to the industry the possibilities that exist when innovative and open software is combined with advanced hardware solutions."

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