(Reuters) - American semiconductor firm Xilinx Inc (NASDAQ:XLNX) said on Wednesday it had won a deal to supply chips to Samsung Electronics (KS:005930) Co Ltd for 5G networking equipment.
Financial terms of the deal were undisclosed.
Xilinx makes programmable chips used in telecommunications equipment such as base stations made by Ericsson (BS:ERICAs), Nokia (HE:NOKIA) and Huawei Technologies Co Ltd [HWT.UL]. However, it was prevented from shipping some products to Huawei by U.S. authorities.
Samsung, known by consumers mainly for its mobile phones, has been building and expanding a business in the network equipment industry, powering many of the 5G networks rolled out in Korea.
The companies said Samsung will use Xilinx's "Versal" computing chips, which will help with a technology called beamforming that lets 5G gear handle more wireless data than previous generations of networks.