World's biggest chipmaker Intel Corp. (INTC) has Tuesday entered into a multi-year strategic mobile partnership with Motorola Mobility Holdings, Inc. (MMI) that will see Motorola use Intel's Atom processors on their mobile computing devices. Motorola will use the processor on smartphones and tablets for consumers and businesses.
"When great silicon and software technology meets great mobile and design innovation, amazing things can happen. Our long-term relationship with Motorola Mobility will help accelerate Intel® architecture into new mobile market segments," Intel President and CEO Paul Otellini said in a statement.
Motorola Mobility was created when Motorola, Inc. was split into two independent and separately traded public companies. Motorola Mobility has one of the strongest patent portfolios in the industry with over 17,000 patents and 7,500 pending.
Motorola Mobility, which agreed to be acquired by Google, Inc. (GOOG) in mid-August, has been a dedicated Android partner in developing and distributing innovative Android-powered devices.
Under the partnership, Motorola said it will begin shipping mobile devices such as smartphones and tablets using Intel Atom processors on the Android platform later this year thereby delivering devices with high performance, long battery life and convenience for boosting mobile lifestyles. It will also provide advanced imaging and video capabilities, as well as seamless wireless connections.
The strategic partnership will see the combining of Intel's leadership in silicon processor technology and computing innovation with Motorola's mobile device design expertise. The popularity of Android as the leading smartphone OS globally is expected to help Motorola to snare a bigger share in the ever growing smartphone and tablet market.
The combination will also leverage Intel's low power system-on-chip (SoC) roadmap for Motorola Mobility's converged mobile device portfolio and expand the opportunity for continued innovation.
"We expect the combination of our companies to break new ground and bring the very best of computing capabilities to smartphones and tablets, which in turn will help to create powerful new experiences that connect and enrich people's lives wherever they may be," Otellini added.
INTC closed Tuesday's regular trading session at $25.59, up $0.12 or 0.49% on a volume of 41.06 million shares, and MMI closed at $38.27, up $0.07 or 0.18% on a volume of 3.13 million shares.
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