Siemens is seeking a partnership with another 3G chip supplier to reduce its dependence on Infineon. The German magazine ‘Focus Money’ claims that the company is in talks with Motorola to develop chips of use in 3G handsets, although this has not been confirmed.
Siemens plans to exhibit a 3G handset by the end of the year, ready for the introduction of services in 2003. It is hoped that the new handsets and service will give the industry a much needed boost, following the recent downturn in demand.
Motorola’s semiconductor and wireless infrastructure businesses are both losing money. The US mobile maker is reported to be interested in Siemens’ wireless infrastructure business.