Qualcomm Inc. (QCOM.O) has stated they have purchased the handheld tech assets of computer chip manufacturer Advanced Micro Devices as a cost of $65 million with a view to expand their graphic and multimedia offerings.

Already a market leader in mobile phone chips, Qualcomm has said the cash deal will cut proforma earnings per share by roughly two cents for fiscal year 2009 before adding to the 2nd half of 2010.

AMD has said the sale will allow them to focus on their core computer processor and graphic chip business. The terms of the deal mean Qualcomm offered jobs to design and development teams from AMD handheld business. Qualcomm’s shares rose as much as 61 cents to $34.75 in late trade after closing down 5% at $34.14.

Source — Reuters