Wireless equipment maker Qualcomm is forming a separate company to handle investments in start-up wireless operators.
Qualcomm will establish the spin-off to separate losses made by the start-ups from its own financial results. Although it claims the investment in new companies has not strained its finances yet, Qualcomm admits it is protecting its year end results, expected in September.
The company said it will retain a 20 per cent stake in the spin-off operation. The deal is expected to close by the end of September.
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