Intel Corp said on Wednesday that its chip contract manufacturing division would work with UK-based chip designer Arm Ltd to ensure that mobile phone chips and other products using Arm’s technology could be made at Intel’s factories.
Once the biggest name in chips known as central processing units (CPUs), Intel has long seen its tech manufacturing edge eroded by rivals such as Taiwan Semiconductor Manufacturing Co. is the world leader in making chips for ,
Intel’s turnaround strategy relies on opening its factories to other chip companies, especially mobile phones. It has said that companies such as Qualcomm Inc plan to use its factories for future chip designs.
“Demand for computing power driven by the digitization of everything is increasing, but until now … customers had limited options to design around the most advanced mobile technology,” Intel CEO Pat Gelsinger said in a statement. ”
For its part, Arm, owned by Japanese technology investor SoftBank Group Corp and which plans to go public later this year, is a major supplier of intellectual property to many chip companies, particularly in mobile phones. Arm has partnerships with major chip contract manufacturers to ensure that its designs will work well within their manufacturing processes.
The partnership announced Wednesday aims to bring Intel on par with TSMC and South Korea’s Samsung Electronics Co Ltd, the two companies that currently manufacture most of the world’s chips for mobile phones.
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