Intel Buying Infineon Wireless Unit for $1.4B

SANTA CLARA, Calif. (TheStreet) -- Intel(INTC) is buying the wireless solutions business of Germany's Infineon for about $1.4 billion cash.

The acquisition is expected to close in the first quarter of 2011.

Infineon's WLS, a provider of cellular platforms global phone makers, will operate as a standalone business. It also will contribute to Intel's strategy to make connected computing "ubiquitous from smartphones to laptops to embedded computing," the companies said in a joint press release.

"The global demand for wireless solutions continues to grow at an extraordinary rate," said Paul Otellini, Intel president and CEO, in a statement. "The acquisition of Infineon's WLS business strengthens the second pillar of our computing strategy -- Internet connectivity -- and enables us to offer a portfolio of products that covers the full range of wireless options from Wi-Fi and 3G to WiMAX and LTE."

-- Written by Joseph Woelfel

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