30 Jun '13, 3pm

News & Analysis - 5 Reasons Renesas Ditched Modem Business | EE Times via @eetimes

MADISON, Wis. — Ailing Japanese chip vendor Renesas Electronics Corp. officially announced Thursday, June 27, what appeared inevitable to the rest of the world: termination of its wireless modem business . Renesas acquired in 2010 a wireless modem development team from Nokia, all of whom will be affected: 1,100 employees in Finland, 300 in India, and 30 in China. The acquisition of Nokia's modem business, when announced, met with skepticism from the industry while revealing Renesas's ambition to transform from a chip supplier to the world's mobile technology leader. That impossible dream, however, went belly-up after a three-year struggle. So, what exactly happened? First, the world order in the mobile market, since 2010, has dramatically shifted, leaving power with a handful of smartphone winners (namely, Apple and Samsung) and mobile chip suppliers (Qualcomm, Samsung). I...

Full article: http://www.eetimes.com/document.asp?doc_id=1119286

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