Intel Corporation announced its complete withdrawal from the 5G market
Intel is steadfastly executing CEO Pat Gelsinger’s IDM 2.0 strategy by gradually shedding some peripheral non-core businesses to cut costs and concentrate resources on key products. Due to the global economic downturn and declining demand in the PC market, Intel launched a cost-cutting and efficiency improvement plan last year, accelerating the pace of business integration and cleanup.
In 2019, Intel sold its 4/5G modem business used for smartphones and tablets to Apple but still retains key 4/5G patents (at least some of which came from the 2011 acquisition of Infineon’s wireless solutions) and continues to provide 4/5G modem solutions for laptops.
According to More Than Moore, Intel has quietly begun to exit its wireless wide area network (WWAN) business and transfer the related technology to MediaTek and Unisoc. The transfer of driver code and licensing agreements is currently underway to ensure user experience. This operation will not affect Intel’s other connectivity businesses, including Wi-Fi, Bluetooth, Ethernet, and Thunderbolt.
It is reported that Intel plans to completely withdraw the 4/5G market before July this year, but will still retain a team to assist its partner MediaTek in solving hardware, software, and customer-related issues. The transfer work is expected to be completed in May and will not have any impact on the financial report. Intel’s existing OEM partners can continue to work with MediaTek to provide updates and upgrades to their existing products.
Eric McLaughlin, vice president of Intel’s Wireless Solutions Business, said that as Intel continues to prioritize investment in the IDM 2.0 strategy, it has made the difficult decision to exit the LTE and 5G WWAN client business. Currently, Intel is working with partners and customers to achieve a seamless transition to support ongoing business and ensure that customers continue to have connectivity solutions in the PC field.
