Cellon closes acquisition of Philips R&D operations

Cellon International, the world’s largest independent design house of wireless handsets, announced it has closed the acquisition of Philips Consumer Communications’ PCC research and development operations.

“This signals the exit of Philips from all R&D for wireless,” said a Cellon spokesman.

Philips’ R&D operation in France, renamed Cellon France, employs more than 300 technical employees. Cellon France specializes in designing GSM/GPRS and UMTS platforms and terminals. Cellon’s acquisition of Philips’ R&D operation was part of a larger agreement between Royal Philips Electronics and China Electronics over the transfer of manufacturing and design for wireless platforms and devices. Cellon is China Electronics’ partner in China Electronics Wireless, a Chinese-based operating unit.

“In today’s market, handset manufacturers are seeking to take advantage of the significant economies achievable through outsourced design, but need a partner with the scale and track record to commit to firm marketing, sales and distribution timelines,” said Jason Sun, CEO of Cellon, said in a statement. --By Lynnette Luna, senior editor