Israeli semiconductor company Techtium Ltd., which has developed a device that enables AAA disposable batteries to be used in cellular handsets, has signed an agreement with Royal Philips Electronics (NYSE:PHG, AEX: PHI) for the integration of its BackuPower embedded charging technology in Philips' Xenium NRG mobile phones. Philips will also include BackuPower in its other handset models at a future date. The agreement is likely to generate a few million dollars in revenue for Techtium in the first year. Also party to the agreement is Energizer Holdings Inc. (NYSE: ENR), whose batteries will be used in Philips' handsets. Energizer owns 5% of Techtium, distributes its products and is extensively involved in its business.
Techtium's technology is designed for situations where a handset battery has completely discharged and users are in the middle of a conversation and do not have a readily available charger or time to recharge the batteries in their sets. A user who finds himself in this situation and has a Techtium product fitted inside his handset can buy a AAA battery from any store and continue talking for another three hours.
Techtium's product has already been integrated in external AAA battery chargers, that enable an uninterrupted conversation when the battery runs down, but which users have to carry on them. Sources inform ''Globes'' that this product has already generated $10 million since its launch six months ago, and it has made the company profitable. The sources added that Techtium expects to sign agreements with additional cellular companies through the end of 2008. The company is also developing similar external and built-in solutions for digital cameras, laptops and other devices.
Techtium was co-founded by CTO Dror Manor and president Dr. Guy Weinstein in 1995. The company's principal investors are Maccabi Haifa football club chairman and Mayer's Cars & Trucks Co. Ltd. president Yaakov Shachar, and former Phoenix chairman and current board member Dr. Arie Ovadia.
Published by Globes [online], Israel business news - www.globes.co.il - on March 28, 2007
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