Philips and Huawei sign agreement to develop 3G ASIC chipset

date: November 28, 2001

Philips Semiconductors and Huawei Technologies have signed an agreement to jointly develop a 3G ASIC chipset. The agreement between the two companies in the ASICs field reaffirms Philips Semiconductors' commitment to increase both its technology and capital investment in China, as well as Huawei's ability to fully meet customers' demands for 3G mobile telecommunications solutions.

Huawei selected Philips Semiconductors as its provider of 3G core ASIC chipsets because of its expertise and production capabilities in the design and development of cellular system and network chips. Philips Semiconductors can provide technical support and manufacturing services through more than 20 ASIC technical centres and many semiconductor test and assembly facilities and production lines all over the world.

Peter Baumgartner, senior vice president and general manager, Global Market Segment Communications at Philips Semiconductors, said, "Under this agreement we will be working closely with Huawei to develop the 3G ASIC chipset to enable Huawei to increase its competitiveness in both local and international markets."

Ye Qing, vice president, ASIC business at Huawei, said, "By co-operating with Philips Semiconductors, Huawei can now deliver more rapidly and efficiently a more competitive commercial 3G system based on advanced chip development technology."

Under the terms of this agreement, Philips Semiconductors will provide the core ASIC chipset based on its CMOS technology for 3G applications. In addition to reducing costs and improving performance, the resulting new chipset will speed up product development time and time-to-market.

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