Qualcomm said it signed an agreement to form a joint venture called JLQ Technology which will focus on chipsets for “mass-tier smartphones” designed and sold into China.
Qualcomm said Jianguang Asset Management (JAC Capital), Leadcore Technology (a subsidiary of Datang Telecom Technology Co), Qualcomm (China) Holding Co, and Wise Road Capital signed the agreement.
“This joint venture will focus on the design, packaging, testing, customer support and sales related to chipsets for mass-tier smartphones designed and sold into China,” said Qualcomm.
Cristiano Amon, executive vice president, Qualcomm Technologies, Inc, said: “This joint venture further demonstrates Qualcomm’s long term commitment to the China mobile industry.
“This project will help Qualcomm expand its presence to new segments and customers, as an addition to our vibrant and fast growing semiconductor business in China.”
Frank Meng, chairman, Qualcomm China, said: “Qualcomm has been a leading technology innovator in mobile for more than 30 years and we assume that this joint venture will develop chipsets to serve the 4G smartphone ecosystem in China.”
Brighten Li, chairman of the investment evaluation committee at JAC Capital, said: “This joint venture represents the organic combination of financial and industry resources of Qualcomm, JAC Capital, Datang Telecom, and Wise Road Capital, the synergy of which is advantageous to local technology innovation.
“It also represents an important step for JAC Capital as an eco-system player in the global semiconductor industry.
“JAC Capital, with its background in the financial industries and many years of experience in the semiconductor and telecommunication industries, will help this joint venture to achieve long-term success.”
The formation of the joint venture is subject to approval by relevant authorities.