AMSTERDAM, Netherlands—Royal Philips Electronics is set to transfer its remaining mobile-phone business to China Electronics Corp. by the end of 2006.
Philips said its mobile-phones unit produced around $501 million annually and employs about 240 people, mainly in Asia Pacific and Eastern Europe.
In the deal, CEC will receive a global license to market and sell products under the Philips brand for the next five years. The company was already Philips’ contract manufacturer, and the company is also known for pumping out chips, computers and even software.
Financial terms of the agreement were not disclosed.
