Intel Corp, the biggest chipmaker, said it plans to boost sales of communication chips and network equipment to extend its sources of revenue.
Intel, which has almost 80 percent of the market for chips used in personal computers, earned only 19 percent of sales from its communications division in the January to September period.
"Within Intel, MPU [or microprocessor unit for personal computers] is the No. 1 area, but communication is also one of the focus areas," Taizoon Doctor, general manager of Intel's mobile communications unit, said in Tokyo.
"Investment may decrease depending on market condition, but our commitment to communications business won't be compromised," Doctor said.
The chipmaker will spend 31 percent of its research and development budget this year to bolster its communication business, which includes semiconductors used in cellular phones as also communication gear and network equipment that connect PCs with servers.
"It will take about three to seven years" for the weight of R&D spending on communication to be equal to the weight of revenue from the business, said Hans Geyer, vice president of the cellular communications division at Intel.
Intel's Doctor and Geyer declined to comment on estimates of sales and R&D spending in the communication division for next year.
The company doesn't disclose category breakdown of capital expenditure, which Intel expects to total US$7.5 billion this year.
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