Intel Corporation has announced its intention to exit the 5G smartphone modem business and complete an assessment of the opportunities for 4G and 5G modems in PCs, internet of things devices and other data-centric devices. Intel will also continue to invest in its 5G network infrastructure business.
The company will continue to meet current customer commitments for its existing 4G smartphone modem product line but does not expect to launch 5G modem products in the smartphone space, including those originally planned for launches in 2020.
According to Intel CEO Bob Swan - In the smartphone modem business it has become apparent that there is no clear path to profitability and positive returns. 5G continues to be a strategic priority across Intel, and their team has developed a valuable portfolio of wireless products and intellectual property. They are assessing their options to realize the value they have created, including the opportunities in a wide variety of data-centric platforms and devices in a 5G world.
Intel expects to provide additional details in its upcoming first-quarter 2019 earnings release and conference call, scheduled for April 25.
