What Do Intel And Nokia Actually Plan To Do?

Intel and Nokia announced a technology partnership. It’s clearly about mobile devices, and Linux. But what exactly are they planning to do?

“They like to announce the intent first,” said John Spooner, an analyst with Technology Business Research. “They’re putting a stake in the ground, saying, we have a partnership, and we want everyone to know.”

Spooner told eWEEK the relationship was likely finalised over the last couple of weeks and Intel and Nokia are ironing out the road map at this time. “I’m not sure they’re going to have products for some time, but I’m sure they will. If they’re designing products together, though, it’s going to take some time,” he said.

Intel wants to be in the next iPhone

During a summer when smartphone makers Apple, Palm and Research In Motion all announced new products, the timing was particularly ripe for the announcement, detailed or not. Intel wants a piece of the smartphone market, and Nokia — while huge in Europe and Asia — wants a bigger piece of the US mark.

“Intel would like nothing better than to power the iPhone. Intel wants to be in the 2010 iPhone,” Spooner told eWEEK. “The big picture is that Intel is designing an ecosystem around ultramobile processors—it’s viewing the mobile phone market, which is about three times bigger than the PC market, and it wants a piece of that. Intel’s next several billion dollars are going to come from handsets, not PCs.”

Time for Texas Instruments and Qualcomm to start worrying?

“Paul Otellini has brought stronger vision and leadership to the position [of Intel’s CEO] than his predecessors,” said Pund-IT’s King. “Given Intel’s capabilities in the market, I’d see them as a threat. But until devices come out, Texas Instruments and Qualcomm and others will be playing a wait-and-see game, and are making their own plans.”
King added with some pleasure, “It’s going to be an interesting year.”