Nokia and STMicroelectronics today announced an agreement to deepen their collaboration on the licensing and supply of integrated circuit designs and modem technologies for 3G and its evolution.

The closing of the agreement between Nokia and STMicroelectronics transfers a core part of Nokia's Integrated Circuit (IC) operation to STMicroelectronics and positions ST to design and manufacture 3G chipset based on Nokia's modem technologies, energy management and Radio Frequency technology and to deliver complete solutions to Nokia and the open market worldwide.

About 185 highly skilled engineers and other Nokia personnel in Finland and UK will be transferred to STMicroelectronics.

Nokia awarded ST a design win of an advance 3G high speed packet access chipset supporting high data rates.

STMicroelectronics is a global leader in developing and delivering semiconductor solutions across the spectrum of microelectronics applications and this agreement with Nokia is expected to yield great results for both firms globally.