Nokia exits chip development, licensing out modem technology
Not too long after Nokia delved deeper into media sharing, the firm is now pulling out of the 3G chip development realm and licensing out its modem technology in order to better utilized R&D resources. Reportedly, STMicroelectronics will grab the reigns to develop 3G chips based on Nokia technology, and while the company "will continue to develop its own modems, the decision to license out the technology will bring in additional revenue and allow new players to enter the technically difficult market." Granted, the move isn't entirely surprising considering that mobile companies are shifting further away from anything that's not a core competency, but 200 Nokia employees will be transferred over to STMicro in Q4 as a part of the move.
