Ericsson and STMicroelectronics, after declaring on 18 March they were winding down ST-Ericsson (their loss-making wireless chip joint venture), have now announced the completion of the process.
ST-Ericsson transferred around 1,800 employees and contractors to Ericsson on 2 August. The bulk of that number are based in Sweden, Germany, India and China, working in design, development and sales of LTE multimode thin modem products (including 2G, 3G and 4G interoperability).
“We welcome the team of about 1,800 modem-experts that join Ericsson,” said Douglas Gilstrup, senior vice president and chief strategist at the Swedish manufacturer. “Ericsson continues to see great value in the LTE multimode thin modems as they are an important part of our vision of 50 billion connected devices in a networked society.”
On the same day, ST-Ericsson transferred about 1,000 employees to ST, primarily based in France and Italy. Their skills are focused on embedded processing, RF, analog and power technologies, software and system integration. The extra workforce will help fuel growth of existing ST businesses said a company statement.
In addition, ST-Ericsson has closed transactions with third parties, including the sale of its Global Navigation Satellite System (GNSS) assets, the transfers of a Linux software team based in Lund, Sweden, and of a Wireless LAN team based in Noida, India.
Carlo Ferro, appointed on 1 April as ST-Ericsson’s chief executive, said: “Over 3,000 ST-Ericsson’s employees have now found new homes with leading players of the industry, where they will contribute with their outstanding competences.”
He added that the transition had been completed on time and with lower costs than anticipated.