SOURCE: NXP Semiconductors

NXP Semiconductors

June 16, 2011 08:30 ET

Sony Ericsson Selects NXP's NFC Solution for Its Android-Based Smartphones

NFC Enables Mobile Entertainment Experiences

EINDHOVEN, NETHERLANDS--(Marketwire - Jun 16, 2011) - Today NXP Semiconductors N.V. (NASDAQ: NXPI) announced that its world leading near field communication (NFC) technology has been selected by Sony Ericsson for inclusion in its Android-based smartphones. Sony Ericsson, a leading, global mobile handset manufacturer focused on communications and entertainment, will use NFC to further enhance its consumers' mobile experiences, creating a portfolio of smartphones that enable mobile transactions. Using simple touch gestures, consumers will be able to make purchases or connect to a point of sale (POS) terminal, ticketing terminal or location-based promotional tag simply and securely with their NFC-enabled smartphones.

NXP provides complete embedded, secure NFC solutions and recently announced that its NFC software is open source on the Android platform and enables the Google Wallet application. Sony Ericsson intends to use the NXP PN65 NFC solution in their Android-based smartphones, which includes the NFC radio controller, the embedded secure element and NFC software. The embedded secure element enables NFC to be used for mobile transactions. Building on NXP's extensive background in secure identification, the PN65 uses advanced cryptography to offer the highest level of security for transactions, with the technology already being extensively used in contactless banking cards, e-passports, e-ID cards and secure access systems.

"Building on Sony Ericsson's leadership in Android and mobile gaming, the integration of near field communication into our Android-based Xperia™ portfolio is another step in delivering the most entertaining smartphones," said Jan Uddenfeldt, Chief Technology Officer at Sony Ericsson. "NFC offers our consumers the ability to broaden their communication experience beyond the phone, and we are poised to drive the development of new, exciting and creative entertainment experiences."

"This latest move from Sony Ericsson is another proof point of the strong momentum and potential of NFC," said Rick Clemmer, president and CEO, NXP Semiconductors. "Based on continued strong customer endorsements we have the opportunity to increase the sales of our NFC products 2-4 times as a percentage of total NXP revenue in the second half of 2011 from the approximately one percent it represents today. NFC offers a game-changing opportunity for mobile phone manufacturers to provide creative and innovative smartphones to their customers."

NFC is a market proven technology co-invented by NXP in 2002. In 2004 NXP co-founded the NFC Forum to lead the collaboration with all industry stakeholders and help standardize the technology. NFC technology evolved from a combination of contactless identification (RFID) and interconnection technologies. Ranked as the number one contactless IC vendor by ABI Research for three years in a row, NXP is the global leader in NFC solutions, field proven in over 150 NFC trials and landmark commercial deployments worldwide.

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About NXP Semiconductors
NXP Semiconductors N.V. (NASDAQ: NXPI) provides High Performance Mixed Signal and Standard Product solutions that leverage its leading RF, Analog, Power Management, Interface, Security and Digital Processing expertise. These innovations are used in a wide range of automotive, identification, wireless infrastructure, lighting, industrial, mobile, consumer and computing applications. A global semiconductor company with operations in more than 25 countries, NXP posted revenue of $4.4 billion in 2010. Additional information can be found by visiting www.nxp.com.

Forward-looking Statements
This document includes forward-looking statements which include statements regarding NXP's business strategy, financial condition, results of operations, and market data, as well as any other statements which are not historical facts. By their nature, forward-looking statements are subject to numerous factors, risks and uncertainties that could cause actual outcomes and results to be materially different from those projected. These factors, risks and uncertainties include the following: market demand and semiconductor industry conditions; the ability to successfully introduce new technologies and products; the end-market demand for the goods into which NXP's products are incorporated; the ability to generate sufficient cash, raise sufficient capital or refinance corporate debt at or before maturity; the ability to meet the combination of corporate debt service, research and development and capital investment requirements; the ability to accurately estimate demand and match manufacturing production capacity accordingly or obtain supplies from third-party producers; the access to production capacity from third-party outsourcing partners; any events that might affect third-party business partners or NXP's relationship with them; the ability to secure adequate and timely supply of equipment and materials from suppliers; the ability to avoid operational problems and product defects and, if such issues were to arise, to correct them quickly; the ability to form strategic partnerships and joint ventures and to successfully cooperate with alliance partners; the ability to win competitive bid selection processes to develop products for use in customers' equipment and products; the ability to successfully establish a brand identity; the ability to successfully hire and retain key management and senior product architects; and, the ability to maintain good relationships with our suppliers. In addition, this document contains information concerning the semiconductor industry and NXP's business segments generally, which is forward-looking in nature and is based on a variety of assumptions regarding the ways in which the semiconductor industry, NXP's market segments and product areas may develop. NXP has based these assumptions on information currently available, if any one or more of these assumptions turn out to be incorrect, actual market results may differ from those predicted. While NXP does not know what impact any such differences may have on its business, if there are such differences, its future results of operations and its financial condition could be materially adversely affected. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak to results only as of the date the statements were made. Except for any ongoing obligation to disclose material information as required by the United States federal securities laws, NXP does not have any intention or obligation to publicly update or revise any forward-looking statements after we distribute this document, whether to reflect any future events or circumstances or otherwise. For a discussion of potential risks and uncertainties, please refer to the risk factors listed in our SEC filings. Copies of our SEC filings are available from on our Investor Relations website, www.nxp.com/investor or from the SEC website, www.sec.gov.