Intel has acquired Infineon's wireless solutions business for $1.4 billion, the companies announced Sunday.

Infineon's wireless unit, known as WLS, produces cellular platforms for phone makers, and will operate as a standalone business after the deal is closed. The purchase will help realize Intel's goal of ubiquitous connected computing, and speed the roll-out of 4G LTE products, according to Intel.

"The global demand for wireless solutions continues to grow at an extraordinary rate," Paul Otellini, Intel president and chief executive, said in a statement. "The acquisition of Infineon's WLS business strengthens the second pillar of our computing strategy – Internet connectivity – and enables us to offer a portfolio of products that covers the full range of wireless options from Wi-Fi and 3G to WiMAX and LTE. As more devices compute and connect to the Internet, we are committed to positioning Intel to take advantage of the growth potential in every computing segment, from laptops to handhelds and beyond."

Infineon said the sale will help it focus on its core automative, industrial and multi-market, and chip card and security busineses.

Intel said it will use WLS's technology to produce low-power, Intel-based platforms that will combine Intel's Wi-Fi and WiMAX efforts with Infineon's 2G and 3G expertise for an accelarted path to 4G LTE, they said.

The Intel and Infineon boards have approved the deal, which is expected to close in the first quarter of 2011.