French-Italian chip maker STMicroelectronics and Nokia, the Finnish leader in mobile phones, said on Wednesday they planned to strengthen their cooperation in integrated circuits and third generation (3G) modems.
"The multifaceted agreement will enable STMicroelectronics to design and manufacture 3G chipsets based on Nokia's modem technologies, energy management and RF (radio frequency) technology and deliver complete solutions to Nokia and the open market," Nokia said in a statement. The two groups have also begun negotiations on the transfer of some of Nokia's integrated circuits operations to STM.