Intel, the world's largest chip maker and Nokia, the world's largest mobile handset maker have joined hands to develop a new class of Intel architecture-based mobile computing device and chipset architectures.
For Intel, this collaboration is a major breakthrough in the mobile handset chip market, which has been controlled over the years by Texas Instruments and Qualcomm.
Earlier this February, Intel managed to get LG, the world's third largest mobile handset maker as its customer for its Intel Atom core chip, a faster processor which is targeted at mobile Internet devices.
Nokia, which has 40 per cent of the world's market share for mobile phones, and Intel, whose microprocessors run more than 80 per cent of the world's fastest supercomputers, (See: Intel chips run nearly eighty per cent of the world's fastest supercomputers) will jointly develop a new set of mobile handset chips which will combine the performance of powerful computers with high-bandwidth mobile broadband communications and Internet connectivity.
Both companies are said to be aiming todevelop a new mobile platform beyond today's smartphones, notebooks and netbooks, that would enable the development of a variety of innovative hardware, software and mobile internet services
Under the arrangement, the companies said they would work together on chip design and open-source software.
The two companies have signed an agreement that will enable Intel to license Nokia's HSPA / 3G modem technologies with the aim of developing advanced mobile computing solutions that deliver a powerful and flexible computing experience, combining the best-in-class 3GPP modem technology with the high performance and low power consumption of future Intel Architecture-based platforms.
The two market leaders say they expect many innovations to result from this collaboration over time, as they will collaborate in several open source mobile Linux software projects.
Intel will also acquire a Nokia HSPA / 3G modem IP license for use in future products as the Nokia modem license complements Intel's broadband wireless technologies and will enable the company to extend chipset solutions incorporating Nokia's modem technologies across its mobility offerings in the future.
Intel will use its Linux-based operating system called Moblin, designed to function on portable devices, while Nokia will use its Maemo, which is also a Linux-based operating system for developing of new mobile computing devices.
"This Intel and Nokia collaboration unites and focuses many of the brightest computing and communications minds in the world, and will ultimately deliver open and standards-based technologies, which history shows drive rapid innovation, adoption and consumer choice," said Anand Chandrasekher, Intel Corporation's senior vice president and general manager, Ultra Mobility Group.
"With the convergence of the internet and mobility as the team's only barrier, I can only imagine the innovation that will come out of our unique relationship with Nokia. The possibilities are endless," he added.
"Today's announcement represents a significant commitment to work together on the future of mobile computing, and we plan to turn our joint research into action," said Kai Öistämö, executive vice president, devices, Nokia.
He said that both companies will explore new ideas in designs, materials and displays that will go far beyond devices and services on the market today and the collaboration will be compelling not only for both companies, but also for the industries, partners and consumers.