Agere Systems and Infineon Technologies AG have formed a broad alliance to jointly develop high-performance chips based on the 802.11 standard in order to offer next-generation wireless networking solutions.
According to a joint statement, this technology offers 20 times higher bandwidth than current wireless networks and will reach up to 54 Mbit/s to support enterprise solutions, multimedia entertainment and home applications.
The collaboration between Agere and Infineon includes intellectual property licensing and a mutual supply agreement. Both companies will independently market next-generation wireless LAN products.
The solution will be targeted to manufacturers of communication and computing equipment to meet the growing demand for high data rate wireless LAN systems that provide business and residential users with flexible access to email and the Internet.
By developing a solution that leverages the respective strengths of each company, Agere and Infineon believe they can help drive the deployment of wireless LAN.
According to the industry analyst firm, IDC, the total market for wireless LAN chips is expected to grow at a compound annual growth rate of nearly 30 percent from $331 million in 2001 to $1,200 million by 2006.
Current applications are supported by today’s 11 Mbit/s 802.11b technology. However, as new services emerge and the number of end-users grows, the bandwidth required in enterprise networks will rise significantly.
The market will increasingly migrate to multimode solutions which combine 802.11a, b, and g technologies, while operating in both the 2.4 and 5.2 GHz frequencies. Multimode solutions are projected to represent as much as 57 percent of the total wireless LAN chip market by 2006, according to IDC.