FORTUNE -- The battle for the teeny-tiny chips that power cell phones is heating up. Santa Clara, Calif.-based chipmaker Nvidia just announced the ZTE Mimosa X, the first phone that runs on its Tegra 2 processor and an Nvidia-made modem chip (and quite possibly the first phone named after an alcoholic beverage).
Why is this significant? Up until now, Nvidia (NVDA) has focused on just one key mobile component -- the applications processor -- and left the connectivity component to Qualcomm (QCOM) and other mobile chip players. But last year Nvidia acquired modem chipset maker Icera, and it's now bundling the chip-making technology it bought with its Tegra processor. That means the Mimosa X is the first phone almost entirely powered by Nvidia. It also means Qualcomm's dominance (it owns 51% of the smartphone chip market) is under greater threat than before.
MORE: The iPhone is (still) saving the mobile industry
Of course, Nvidia and Qualcomm aren't the only chipmakers vying for a piece of the increasing mobile pie. With more and more consumers turning to smartphones and tablets instead of PCs, Intel (INTC) is also (finally) making a big push for the mobile market. The world's largest chipmaker has brought in new leadership to lead its mobile efforts and recently made its own acquisition in the connectivity space, shelling out $1.4 billion for Infineon's mobile division in 2010. At the Consumer Electronics Show last January, Intel announced that its Medfield processor will power phones made by Motorola (MMI) and Lenovo, and the company is expected to unveil more details about its mobile strategy at next week's Mobile World Congress in Barcelona. While this isn't the first time Intel is attempting to crack the mobile market, initial reviews on Medfield have been good. What's more, Intel has plenty of other tricks up its sleeve -- after all, it is a manufacturing powerhouse with plenty of cash. It's already made a handful of acquisitions that could help it bake location-based technology and security features—not to mention connectivity—into its mobile chipsets.
Mobile phone chips aren't nearly as lucrative as PC processors. That's why Intel is betting that selling a complete package with add-on features is the way to differentiate and drive profits. Apparently, that's also what Nvidia is starting to do, though at a much smaller scale.
MORE: Intel's (latest) mobile comeback
In a call with Fortune shortly after the company's announcement, Nvidia's CEO Jen-Hsun Huang said more phones powered by its applications and modem chips are on their way. The company should have plenty more news next week at Mobile World Congress—as will Intel, Qualcomm and every other company hoping to chip away at the fast-growing market for smartphone chips.
Xfinity Streampix's thus-far-meager offerings are available only to subscribers of Comcast's pay-TV services.
FORTUNE -- Put "Comcast" and "streaming" together in a press release and predictably, reports will proliferate that the cable giant is taking on Netflix. It isn't.
Not yet, anyway. Comcast's (CMCSA) new streaming service, Xfinity Streampix, will be available to existing video customers only, though it's possible -- even likely -- that the company is laying the groundwork for MORE
Dan Mitchell, contributor - Feb 22, 2012 6:30 AM ET
Is the retail giant's rewards program profitable? Probably not. Is it a vital part of the company's future? Almost certainly.
FORTUNE – Launched in 2005, Amazon Prime aimed to get customers to spend more. For $79 a year, members got free two-day delivery on an unlimited number of items. Amazon sweetened the pot from there. Last year, it introduced Prime Instant Videos, an unlimited movie and TV streaming service similar to MORE
JP Mangalindan, Writer-Reporter - Feb 21, 2012 3:02 PM ET
CEO Paul Otellini thinks he's finally found a way to get Intel into the mobile game. Will phone makers take his call?
FORTUNE -- There are two kinds of CEOs: Those who love the spotlight and those who hate it. Paul Otellini, chief executive officer of Intel, falls into the latter category. But in January, as he stood in front of several thousand people at the Consumer Electronics Show in Las MORE
Michal Lev-Ram, writer - Feb 21, 2012 5:00 AM ET
Netflix is making the signup process a bit easier for customers who want to rent only DVDs. That doesn't mean the company has suddenly re-embraced the DVD business.
FORTUNE -- Netflix (NFLX) CEO Reed Hastings really can't catch a break. And it's only partly his fault. Ever since that whole aborted DVD-spinoff fiasco (Qwikster), which followed that whole new-pricing-plan fiasco, every one of his utterances has been examined by the media MORE
Dan Mitchell, contributor - Feb 17, 2012 3:33 PM ET
Even for the gimmick-crazed ad world, the campaign for a new Playstation video game is likely to raise eyebrows.
By Alex Konrad, reporter
FORTUNE -- This Valentine's Day, thousands of people used their keyboards and web browsers not to buy flowers or forget-me-nots, but to aim and fire a machine gun at an ice cream truck best-known as the wheels of a homicidal, virtual clown. I was supposed to be one of MORE
mvella1271 - Feb 17, 2012 12:48 PM ET
AT&T, Sprint Nextel and Verizon must allow shareholders -- like the Beastie Boys' Mike D -- to vote on whether the companies should continue to impose data caps on their customer.
FORTUNE -- The SEC on Wednesday ordered that Verizon (VZ), AT&T (T), and Sprint Nextel (S) must allow shareholder votes on Net neutrality.
The companies have displayed transparent hypocrisy in arguing against the votes. Net neutrality, they said, MORE
Dan Mitchell, contributor - Feb 16, 2012 3:17 PM ET
The internet company has placed high hopes -- and lots of cash -- in its hyperlocal news venture. But, with just a few sites actually turning a profit, the numbers may never add up.
FORTUNE -- It was supposed to be a savior. AOL's hyperlocal news venture Patch was created to fill the void left by the death of local newspapers around the country. Finding a dearth of online news in MORE
JP Mangalindan, Writer-Reporter - Feb 15, 2012 11:34 AM ET
The deal to acquire Motorola will give Google the ammo it needs to battle patent lawsuits from competitors like Apple.
FORTUNE -- The Justice Department on Monday gave Google (GOOG) the go-ahead to complete its $12.5 billion acquisition of Motorola Mobility (MMI). Judging by the stern warnings the DOJ issued, and its criticisms of Google's promises to not misuse any of the the 17,000 patents it is acquiring in the MORE
Dan Mitchell, contributor - Feb 14, 2012 2:24 PM ET
Roustabouts, weatherpeople and Air Force pilots
As if to underscore Apple (AAPL) CFO Peter Oppenheimer's claim that "nearly all" Fortune 500 companies "approve and support" iPhones on their networks, three major purchase orders came to light this week:
Halliburton announced that over the next year the oil services company will be "transitioning" from Research in Motion's (RIMM) BlackBerry platform to "smartphone technology via the iPhone." A spokesperson told AppleInsider that about MORE
Philip Elmer-DeWitt - Feb 10, 2012 3:40 PM ETEvery morning, discover the companies, deals and trends in tech that are moving markets and making headlines. SUBSCRIBE
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| Company | Price | Change | % Change |
|---|---|---|---|
| Bank of America Corp... | 7.95 | -0.16 | -1.97% |
| Microsoft Corp | 31.27 | -0.17 | -0.54% |
| Ford Motor Co | 12.28 | -0.25 | -2.00% |
| General Electric Co | 19.39 | 0.17 | 0.88% |
| Citigroup Inc | 32.36 | -1.00 | -3.00% |
| Index | Last | Change | % Change |
|---|---|---|---|
| Dow | 12,938.67 | -27.02 | -0.21% |
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| S&P 500 | 1,357.66 | -4.55 | -0.33% |
| Treasuries | 2.00 | -0.04 | -1.96% |
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