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Nokia acquires US based startup to boost 5G capabilities

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Nokia is apparently bidding upon 5G as a core point of focus for the future. The company has acquired US-based Eta Devices with the aim of improving power efficiency at its base stations. The financial details of the deal however, have not been disclosed.

The startup is pretty small, and describes itself as a “fabless semiconductor company“. Headquartered in Cambridge, MA, it also has an R&D office in Stockholm. The company was founded in 2010 by two MIT electrical engineering professors and a former lead power amplifier (PA) researcher for Ericsson and Huawei. The focus of the startup is to improve the efficiency of the systems deployed in LTE and WCDMA power amplifiers.

The startup is pretty modest and works with a team of around 20. However, some of its work has been impressive enough to catch Nokia’s eyes, who has decided to acquire it to boost its own capabilities.

As per an official press release by Nokia,

Eta Devices’ unique ETAdvanced power management technology can reduce heat waste drastically through the use of a new amplifier that works like an automated gearbox, adjusting energy usage by constantly providing just the right amount of power required for a radio signal. This translates to savings for operators that can be invested as 4.9G and 5G approach.

Under the terms of the deal, Nokia will be receiving ownership of Eta’s fixed assets, employees, intellectual property rights, and lease and supplier deals. The company hopes to deploy the tech it obtains through the deal to bolster its own systems.

The integration may lead to smaller base station cabinets and reduced equipment breakdown rates for Nokia and may help it improve the base station power efficiency of its products.

Power efficiency is a huge factor in any technology, more so in communications and connectivity. By acquiring Eta, Nokia has also given us a look at the importance of 5G in it’s strategy for the future.


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