Intel has announced that one of its factories will start making smartphone chips based on designs by the UK-based firm ARM.
LG has been announced as the first client to take advantage of the tie-up.
Intel and ARM are often perceived as being rivals. Intel's x86 chip architecture dominates the PC sector while ARM-based chips are used in most phones and tablets.
But the two said they expected the move to be "mutually beneficial".
"[I] am wowed by moments of cooperation that redefine the industry landscape," blogged Will Abbey, an executive at ARM.
"This agreement is one example of that and will deliver immense value to the design ecosystem and ultimately to our partners."
