CSR says new chips will help in smartphone race

CHIPMAKER CSR, whose planned takeover of Zoran was thrown into doubt yesterday, has said support for its new wifi-bluetooth chip and contracts for its GPS products from Samsung and Huawei will help it recover in the smartphone market.

The positive news on its product pipeline yesterday outweighed a weaker-than-expected forecast for the current quarter and a five per cent decline in first-quarter sales.

CSR said its newest combination chips in products like Samsung’s Galaxy II smartphone and the commitment from a manufacturer for its wifi-bluetooth chip would deliver growth.

The outlook came a day after CSR’s takeover of imaging chipmaker Zoran was cast into doubt by poor results from the US firm.

CSR said it would look again at the agreed all-share deal after Zoran was hit by Cisco’s decision to close its Flip video camera unit and supply chain problems in Japan.