Intel Buys Infineon's Wireless Biz. Is It About LTE?

It's been rumored for months that Intel (INTC), the world's largest chipmaker, was close to buying German semiconductor company Infineon's (IFNNY:US) wireless chip business.Well, it's finally happened.Intel announced it was spending $1.4 billion in cash to buy Infineon's wireless business solutions group (WLS). Given that WLS's annual revenues are close to $1.16 billion, it doesn't seem as if Intel overpaid. However, Infineon might be facing tough times as Apple (AAPL), a major customer, starts to look for alternatives for the radios inside its iPhone, especially for the rumored CDMA version of the gadget. Infineon says it will focus on the automotive, industrial, and security industries now that it has jettisoned wireless.

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