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Chipmakers to Develop Technology

June 18, 2002

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FRANKFURT, Germany (AP) _ German chipmaker Infineon will form a joint venture with U.S-based Motorola and Agere Systems Inc. to develop and market chip technology used in mobile phones and consumer electronics, the companies said Tuesday.

The new company, called StarCore, will develop and license the architecture for use in digital signal processor chips that are used in products ranging from cell phones to CD players. It won’t make the chips, but will license the technology to chip companies or device makers, the companies said in a joint statement.

Digital signal processor chips change electronic signals, for instance, transforming the acoustic signal produced by a phone user speaking into a microphone into a digital signal for transmission over the air.

The joint venture enables the companies to share the costs of developing the chip technology and to offer it to anyone who wants to buy it rather than simply developing the devices for use in-house.

The new company will be based in Austin, Texas, with a subsidiary office in Tel Aviv.

``The central goal of the new StarCore is to proliferate world-class DSP core technologies through open licensing,″ StarCore’s chief executive Thomas Lantzsch said in a statement.

Lantzsch moves to StarCore from Schaumburg, Ill.-based Motorola, where he was a vice president. The new company builds on the StarCore Joint Design Center founded in 1998 to develop chip technology for Agere and Motorola only, the companies said.

Agere, headquartered in Allentown, Pa., makes semiconductors and components for wireless and fixed-line communications networks.