Chip maker ST-Ericsson faces shutdown as STMicro plans to quit JV
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STMicroelectronics on its part is looking to cut costs and better compete with higher-margin US and Asian rivals like Qualcomm and Texas Instruments.
Swedish Ericsson however also is not likely to be willing to single-handedly takeover the JV that registered an $841 million loss last year.
Analysts don’t write off the possibility of ST-Ericsson, a JV employing more than 5,000 people to get shut down completely and sold to the likes of Intel and Broadcom.
"I think it is going to be a complex deal including some reallocation of employees to Ericsson, and the sale of the wireless modem business to a competitor, and some layoffs," semiconductor analyst Jerome Ramel of Exane BNP Paribas said.
STMicro shares went up on the announcement which is seen to be good for its business.
source: Reuters
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HTC gets One X+, two other smartphones Playstation certified 
Texas Instruments joins the Alliance for Wireless Power 
11 Comments
6. darac posted on 10 Dec 2012, 13:01 1 0
Jolla partnered with STE for their phones.
It's theirs sole chip choice for now
4. cdgoin posted on 10 Dec 2012, 11:25 3 0
Lets not forget Sony dropped them too.. They have a LOT of ground to make up if they don't want to go bankrupt.
5. Insignificant posted on 10 Dec 2012, 11:27 1 1
I'm certain a version of the a9600 with integrated LTE was going to be the best chip next year overall. I hope Sony buy them out of this mess.
9. adjou posted on 10 Dec 2012, 16:57 0 0
a9600 is no longer on their product list... Most likely been dropped
7. aokde posted on 10 Dec 2012, 13:16 1 0
please sony buy them! or let intel buy them and contract with intel to provide you chips! please please please...
11. MC1123 posted on 10 Dec 2012, 18:18 0 0
i was actually looking forward for STericsson WP from nokia coz before nokia or STEricsson promise that they will bring a nova thor powered WP on the market...
http://www.engadget.com/2011/11/02/st-ericssons-novathor-to-power-nokias-windows-phone-devices-l/
to make it cheaper and cheap dual core!
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