Intel considers re-entering the mobile phone market
As reported in the Financial Times, Intel CEO Paul Otellini has stated that the processor manufacturer is considering re-entering the mobile phone market in view of the increasing revenue from data services and internet access. Intel apparently feels that because mobile devices increasingly resemble small computers, Intel can use its experience in processor design and manufacture to advantage in the new mobile market. In the FT interview, Paul Otellini said that he thinks it is easier to add telephony functions to a small computer than to add computer functionality to a mobile phone.
Intel sold its loss-making "Communications and Application Processor" handheld device chip division to Marvell Technology two years ago. At the time, Intel stated that it intended to focus on areas like WLANs and Wimax in the mobile sector. At this year's Intel Developer Forum held in April it was announced that the first generation of Intel's new Atom processors is to be incorporated into Mobile Internet Devices (MIDs). The next processor generation is also to be integrated into smart phones.