Intel to buy stake in two Chinese firms

Intel to buy stake in two Chinese firms
by Staff Writers
New York (AFP) Sept 26, 2014

US semi-conductor maker Intel said Friday it will invest $1.5 billion in two Chinese cell phone part companies.

The California firm said it would acquire a 20 percent stake in a holding company that owns Spreadtrum Communications and RDA Microelectronics, according to an Intel statement.

The transaction should be finalized early next year.

The two Chinese companies specialize in parts for 2nd, 3rd and 4th generation cell phones. They do not make the parts themselves but rather farm the work out.

Intel was once the unquestioned leader in electronic parts when laptops led the market, but today lags far behind in mobile technologies and is trying to catch up.

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