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Intel Ditches Mobile Phone Processors
An anonymous reader writes "Intel is planning on selling off their XScale applications processor and 3G processor businesses for around $600 million to Marvell. From the article: 'Marvell is best known for its NIC (network interface card) chips, including wireless chipsets, and for other embedded, network infrastructure, and storage processors. The company has not previously competed in the market for mobile phone chipsets. However, it says it knows how to produce chipsets for high-volume consumer applications, which it has done for 11 years. Marvell earlier this year acquired a UT Starcom business unit in China that is working on mobile phone processors.'"
Intel has lost billions of dollars since late 90s on this. EE-times gives some more details http://www.eetimes.com/news/semi/showArticle.jhtml ?articleID=189602065
During the course of the past decade Intel invested between $3 billion and $5 billion in the assets it sold to Marvell, says Will Strauss, an analyst for Forward Concepts. Intel spent nearly $2 billion on a single acquisition to bolster those communications chip efforts. It was a major rat hole of unparalleled magnitude.