NEW YORK: US computer chip giant Intel (Berlin: INL.BE – news) announced Tuesday a partnership with Chinese tech firm Rockchip to produce low-cost Android-based tablet computers.
The two companies will produce “a range of entry-level Android tablets worldwide” with the Intel Atom processors.
“The strategic agreement with Rockchip is an example of Intel’s commitment to take pragmatic and different approaches to grow our presence in the global mobile market by more quickly delivering a broader portfolio of Intel architecture and communications technology solutions,” said Intel chief executive Brian Krzanich in a statement.
“We are moving with velocity to grow Intel?s offerings for the growing global tablet market.”
Rockchip CEO Min Li added in the same statement that “the combination of Intel’s leading architecture and modem technology with our leading mobile design capability brings greater choice to the growing global market for mobile devices in the entry and value segments.”
Jack Gold, analyst at J. Gold Associates, said the deal will help Intel gain access “to the mass Chinese market for lower end tablets and potentially smartphones.”
“This is a win-win strategy, giving Intel a massively expanded sphere to sell chips to (via Rockchip) in the rapidly growing low-end tablet market, primarily Android based,” Gold said in an email.
“This gives Intel a better ability to compete against the ARM ecosystem,” referring to devices using the platform of British-based ARM Holdings (LSE: ARM.L – news) .
Intel has been pushing further into mobile devices and the “Internet of things” to make up for slowing sales of personal computers, a market it dominates.