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Intel, Siemens in $US2B flash memory deal

Intel, Siemens in $US2B flash memory deal

Intel will provide high-performance flash memory chips to German electronics and engineering conglomerate Siemens AG in a deal worth over $US2 billion, the chip maker announced Friday.

In a three-year deal, Siemens will purchase the flash memory chips, which are designed for use in Internet-enabled mobile phones and other wireless devices using Intel's StrataFlash memory technologies, Intel said in a statement.

Furthermore, Intel and Siemens have agreed to co-develop new wireless devices for the upcoming and much anticipated 3G (third-generation) mobile standards, Intel said. The 3G wireless devices, expected to hit the market by 2005, will traffic in high-speed audio, video and images as well as voice and data communications.

Flash memory chips are able to store information even when the power is turned off, and are being increasingly used in mobile devices such as mobile phones and PDAs (personal digital assistants), digital cameras and MP3 players.

Last October, Intel began shipping its new 1.8-volt flash memory chips, which are designed to speed up the performance of data-centric wireless devices by up to four times the speeds of its earlier chips.


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