Nokia scales back chipset development

Handset maker Nokia announced that it would stop some of its chipset development in order to focus on other areas of its business. The strategy change means 200 employees in its 400-person chipset development group will move to STMicroelectronics. Nokia will depend on STMicroelectronics and three others for chipsets for its mobile phones. STMicroelectronics will specifically supply 3G chips to the handset maker. The company said the other 200 workers will focus on modem and protocol technologies moving forward. Nokia said the group represents a "very small" portion of its R&D team.  

For more on Nokia's plans:
- read this article from IDG    

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