Sony Ericsson, Sagem Sign ODM and Licensing Deal
March 30, 2007
Sony Ericsson and Sagem have signed an ODM (Original Design Manufacturing) and licensing agreement to tap the entry-level mobile phone market. Under the agreement, Sony Ericsson will be able to use hardware and software developed by Sagem, and Sagem will supply Sony Ericsson with Sony Ericsson-branded mobile phones. Moreover, Sony Ericsson and Sagem will establish a development center devoted to entry-level models near Sagem's facilities in Cergy, France.
The two companies' collaboration on entry-level mobile phones is projected to help Sony Ericsson explore the value-line segment. Meanwhile, it is unclear how Sagem and Chinese Bird's mobile phone R&D and manufacturing joint ventures will be influenced by the aforementioned deal.