Freescale’s mobile chip business for sale

Freescale’s mobile chip business for sale

October 6, 2016

Texas-based chip maker, Freescale, has put its mobile phone chip division up for sale.

The company is seeking a buyer or partner for the division so that it can focus on making chips for computer networks and cars.

In a statement, Freescale said the sale is intended to ’sharpen’ the company’s ’strategic focus’ on high growth markets.

Freescale has historically supplied chips to its former parent company, handset maker Motorola, a troubled vendor that has seen a dramatic decline in handset sales in recent quarters.

A failure to sign up new customers, spiralling debt and few liquid assets have seriously damaged Freescale’s future prospects.

CEO Rich Beyer said his company’s failure to drum up new mobile chip customers has caused it to fall behind competitors.

He added that to recover its position as a leader in the mobile chip market would take several years and a high level of investment – time and money that the company doesn’t have available.

Beyer believes that the company can best improve its fortunes by focusing on markets that it already leads, as well as markets that are seeing high levels of growth.

Despite Beyer’s gloomy outlook, sales at the mobile chip unit have grown on year, up 41% in the second quarter to $337 million.

Tim Yeo

Related Posts

Gigle expands ‘any wire’ distribution network

Comments Off on Gigle expands ‘any wire’ distribution network

iPhone subsidies damage operator profits

Comments Off on iPhone subsidies damage operator profits

Netgear launches Wi-Fi networking solutions for 5GHz band

Comments Off on Netgear launches Wi-Fi networking solutions for 5GHz band

Tiscali confirms BskyB takeover rumours

Comments Off on Tiscali confirms BskyB takeover rumours

CommProve and Telecom 180 in South African deal

Comments Off on CommProve and Telecom 180 in South African deal

UK operators offered indefinite 3G licenses

Comments Off on UK operators offered indefinite 3G licenses

Brits frustrated with Broadband services

Comments Off on Brits frustrated with Broadband services

Brits prefer surfing the net to eating good food

Comments Off on Brits prefer surfing the net to eating good food

Microchip celebrates 50th birthday

Comments Off on Microchip celebrates 50th birthday

Pipex launches software rental service

Comments Off on Pipex launches software rental service

42% of China connected to mobile networks

Comments Off on 42% of China connected to mobile networks

HTC revenues for early 2008 up 50% compared to early 2007

Comments Off on HTC revenues for early 2008 up 50% compared to early 2007

Create Account



Log In Your Account