Nokia's wireless-modem business fetches $200 million

Semiconductor firm Renesas Electronic is buying the unit, which includes LTE, HSPA, and GSM technologies and patents.

David Meyer Special to CNET News.com

Nokia has sold its wireless-modem business to semiconductor company Renesas Electronics, and the two companies have agreed to develop modem technologies together in the future.

The $200 million sale of Nokia's wireless-modem business, which includes LTE, HSPA, and GSM technologies and patents, was announced Tuesday. In a joint statement, Nokia and Renesas said they had formed a long-term alliance to develop modem technologies for HSPA+/LTE initiatives. (LTE is the long-term evolution of 3G, sometimes called 4G).

Nokia also noted that divesting itself of the business would help it focus on its core handset and services businesses.

Read more of "Nokia offloads wireless modem business for $200m" at ZDNet UK.