Solectron and Infineon Enter Into Design Alliance for Complete Wireless Solutions

Nov 28, 2001 | Market News

Singapore, November 28, 2001 -- Solectron Corporation (NYSE: SLR), the world’s leading provider of electronics manufacturing and supply-chain management services, and Infineon Technologies AG (FSE/NYSE: IFX), a leading supplier of wireless communication components, today announced an alliance to offer originally designed personal communication device solutions.

Under the agreement, Solectron will provide customers with a complete supply-chain solution, including design, manufacture, after-sales service and logistics support, for originally designed GSM and GPRS based personal communication devices. Designed in partnership with Infineon, the devices will be based upon chipsets and GSM/GPRS software from Infineon and its subsidiaries, Comneon and Danish Wireless Design. In addition, Solectron will provide for the industrial design, as well as the mechanical, power and cooling design aspects of the devices.

“By partnering with Infineon, Solectron will offer innovative, cost-competitive design, production and support packages that are optimized to meet specific customer and end-market requirements,” said Ajay Shah, executive vice president of Solectron, and president and CEO of Solectron’s Technology Solutions business unit.

In today’s marketplace, companies seeking to develop GSM and GPRS based devices face shorter and shorter product lifecycles, creating less time and resources for the development of low to mid range product categories. Solectron and Infineon’s originally designed personal communication devices will allow companies to invest their scarce resources where they are needed the most – on the marketing of their products and services, as well as the development of high-end GSM and GPRS devices.

“Infineon, with many years of experience in wireless technologies, expands our commitment to the wireless market by providing full support to players within the value-chain – addressing global end-user requirements with complete innovative solutions at optimized cost,” said Peter Bauer, executive vice president and chief sales and marketing officer, Infineon Technologies. “Infineon and Solectron are committed to delivering complete wireless solutions to meet the rapidly changing market conditions of our customers.”

Personal communication devices include cell phones, pagers and wireless equipped personal digital assistants. These devices may be either stand-alone units or integrated into mobile or fixed stations, such as vehicles or fixed-base wireless telephone systems. Infineon provides manufacturers of cell phones and other personal communication devices with referenced design solutions for the reliable development of GSM based products, enabling faster time to market and production.

Solectron will manufacture the personal communication devices at its volume production facilities located in strategic end-markets around the globe. Regional logistics and post-manufacturing support will be provided through Solectron’s worldwide network of repair and distribution centers.

About Infineon

Infineon Technologies AG, Munich, Germany, offers semiconductor and system solutions for applications in the wired and wireless communications markets, for security systems and smartcards, for the automotive and industrial sectors, as well as memory products. With a global presence, Infineon operates in the US from San Jose, CA, in the Asia-Pacific region from Singapore and in Japan from Tokyo. In the fiscal year 2001 (ending September), the company achieved sales of Euro 5.67 billion with about 33,800 employees worldwide. Infineon is listed on the DAX index of the Frankfurt Stock Exchange and on the New York Stock Exchange (ticker symbol: IFX). Further information is available at

About Solectron

Solectron ( provides a full range of global manufacturing and supply-chain management services to the world's premier high-tech electronics companies. Solectron's offerings include new-product design and introduction services, materials management, high-tech product manufacturing, and product warranty and end-of-life support. Solectron, the first two-time winner of the Malcolm Baldridge National Quality Award, has a full range of industry-leading capabilities on five continents. Its headquarters are in Milpitas, Calif.

Safe harbor

Except for the historical information contained herein, this release contains forward-looking statements that are subject to risks and uncertainties, regarding, among other things, the anticipated benefits of the agreement based on current expectations. In particular, while the companies have announced their agreement to work together, there is no assurance that the parties will successfully complete the projects intended under the agreement.

Solectron contacts:

Media Contacts:
Matt Roszell
Solectron Corporation
+1 (408) 586-4031 (U.S.)

Analysts Contact:
Thomas Alsborg
Solectron Corporation
+1 (408) 956-6614 (U.S.)

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