The 50/50 joint venture that united the wireless semiconductor division of STMicroelectronics and the mobile platform division of Ericsson will move forward as ST-Ericsson.
This announcement follows the recent closing of the agreement announced in August 2008, between the parent companies, to merge Ericsson Mobile Platforms and ST-NXP Wireless. ST-Ericsson takes center-stage as a powerful new driving force in the wireless semiconductor industry; a key supplier to four of the top five handset manufacturers, with combined pro-forma revenues of about US$3.6bn in 2008, and a cash position of US$400mn.
“ST-Ericsson is born as a leader, drawing upon the strong heritage of some of the best wireless companies. Thanks to our cumulative experience, unique portfolio and long-standing relationships with the top handset manufacturers, ST-Ericsson has the four fundamental components necessary for success: a commitment to innovation, a complete portfolio of wireless solutions, a solid reputation as a reliable and trusted partner and an experienced management team focused on execution,” said Alain Dutheil, President and CEO of ST-Ericsson.
One of the most comprehensive IP portfolios in the industry reflects ST-Ericsson’s R&D lineage. With almost 85 percent of its workforce in R&D and a large collection of important patents to its credit, ST-Ericsson will enable its customers to optimize existing technologies, while developing new ones for the future needs of the market. This commitment to R&D provides faster time-to-market and better return on investment for the Company’s customers.
ST-Ericsson will deliver mobile multimedia, connectivity and platform solutions including reference designs for GSM, EDGE, WCDMA, HSPA, as well as TD-SCDMA and LTE. The company’s multimedia and application processors, supporting all major operating systems, will power next-generation devices. Its connectivity and broadcast solutions span Bluetooth, FM, GPS, WLAN, Near Field Communications and USB to provide the richest wireless experience. ST-Ericsson’s solutions cover all market segments, from entry level to smartphone, and can be delivered as completely integrated solutions, as well as individual components.
ST-Ericsson has long-standing relationships with all major handset manufacturers and is supplier to Nokia, Samsung, Sony Ericsson, LG and Sharp, as well as to other industry leaders.
Created as a fabless company, ST-Ericsson will utilize the wafer-processing capabilities of STMicroelectronics as well as other third-party foundries. It also has full access to world-class assembly and test facilities operated by STMicroelectronics. ST-Ericsson’s operations are spread around the world, with main centers in China, Finland, France, Germany, India, Japan, Korea, Netherlands, Norway, Singapore, Sweden, the UK and the USA.