Microsoft and LG-Nortel, a joint venture of LG Electronics and Nortel have signed a Memorandum of Understanding (MoU) to collaborate in VoIP field, including WinCE-based IP terminals and the new WinCE 6 videophone, Microsoft’s new integrated embedded development environment for the next generation of smart devices.

The scope of the strategic alliance will include joint R&D, cooperative marketing to customers and channels worldwide, and a licensing agreement for WinCE 6. The MoU builds on the strength of an existing relationship between the two companies, marked by LG-Nortel’s successful development of a WinCE 5-based multimedia Session Initiation Protocol (SIP) phone, the LIP-6824CD, and the world’s first WinCE 6 videophone for global markets.

Terminals based on Microsoft’s new WinCE 6 platform provide more powerful multimedia processing and will serve as a platform for application-oriented enterprise and residential solutions based on innovative embedded devices.

Microsoft and LG-Nortel expect to conclude a definitive agreement within the next few months. At that time, new WinCE 6-based IP phone designs and features will be announced.