Worth a repeat:InterDigital Communications Corp. EPS Estimated At 0.39
Jul 26, 2003 (Nelson's Broker Summaries via COMTEX) --
Company: InterDigital Communications Corp. (nasdaq:IDCC)Report Headline: "INTERDIGITAL COMMUNICATIONS CORP."Report Date: July 23, 2003Current FY EPS Estimate [FY2003]: 0.39Previous EPS Estimate for Current FY [FY2003]: N/ACurrent Quarter EPS Estimate [Q3]: -0.02Next FY EPS Estimate [FY2004]: 4.27Previous EPS Estimate for Next FY [FY2004]: N/ACurrent Recommendation: Buy
Research Firm: U.S. Bancorp Piper JaffrayAnalyst: Samuel S. MayIndustry: Telecom Equipment
http://www.thomsonfinancial.com
Copyright 2003, Nelson Information, a Thomson Financial company
-0-

DJ Partner To Announce 3G Investment Within 2 Weeks -Report

JERUSALEM (Dow Jones)--Mobile operator Partner Communications Co. (PTNR) will announce within two weeks plans to start investing this year in a 3G network, TheMarker.com financial news service reported Monday in an unsourced report.
Nortel or Ericsson equipment will build the network, the report said. Unidentified market sources were cited as saying that Partner's major shareholder, Hutchison Whampoa, prefers Ericsson, even though Nortel has offered lower prices in an effort to win a bigger network deal from Hutchison.
Partner has allocated 350 million shekels ($1=ILS4.3920) this year for investment in a 3G network, TheMarker said.
Nortel and Ericcson refused to comment on the report, according to the news service. Partner said an announcement would be issued after a vendor is chosen.
Partner reckons that if it starts deploying a 3G network this year, that wouldn't preclude a joint network in the future with Israel's other two leading mobile operators, Cellcom Israel Ltd. and Pele-Phone Communications Ltd., TheMarker said.
-By Amy Teibel, Dow Jones Newswires; 972-2-537-6985; amy.teibel@dowjones.com

(END) Dow Jones Newswires
07-28-03 0855ET

AT&T Wireless Grows Profit, Makes 3G Plans
Jul 25, 2003 (Communications Today/PBI Media via COMTEX) -- One day, AT&T Wireless Services [NYSE: AWE] took a big step in bringing the first third-generation wideband-CDMA system to North America, and the next day the carrier continued the wireless industry's recent parade of positive earnings reports. AT&T Wireless on Thursday posted a second-quarter profit of $228 million, or 8 cents a share, up from the year-ago $24 million, or 1 cent a share, and beyond Wall Street's expectations. Its revenue rose 5 percent from the April-June period a year ago to $4.1 billion. Wall Street had forecast second-quarter results of 4-cent per share profit and $4 billion in revenue for the carrier.
On Wednesday, AT&T Wireless revealed that Nortel Networks [NYSE/TSX: NT] and Ericsson [Nasdaq: ERICY] will be the vendors for its W-CDMA network needs. Picking the vendors continues the carrier's plan, announced in December 2002 when NTT DoCoMo [NYSE: DCM] invested nearly $16 billion in it, to launch four U.S. markets using W-CDMA by the end of 2004. The companies expect that rolling out W-CDMA networks will allow AT&T Wireless to significantly increase subscriber capacity, reduce networking costs and increase data speeds required for delivering wireless broadband 3G services to consumers and enterprise customers. The W-CDMA radio equipment will operate on the 1900 MHz spectrum and use the same core equipment AT&T Wireless employs to support advanced voice and data services through GPRS and EDGE technologies.
[Copyright 2003 PBI Media, LLC. All rights reserved.]
Communications Today, Vol. 9, No. 135 [Copyright 2003 PBI Media, LLC. All rights reserved.]
Copyright 2003 PBI Media, LLC. All rights reserved.
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Qualcomm and TI fall out over patents deal
Jul 28, 2003 (Datamonitor via COMTEX) -- A wide-ranging patent agreement between Qualcomm Inc and Texas Instruments Inc has gone sour, after the San Diego CDMA developer accused its Texas-based counterpart of breaching the deal.
The spat could knock TI's recently announced plans to enter the mass market for CDMA off track.
The two companies signed a cross license agreement in December 2000, covering TI's DSP and analog technology, and Qualcomm's patents which underlie the CDMA wireless standard.
Qualcomm filed a suit late Friday accusing Dallas-based Texas Instruments of breaking a confidentiality provision of the deal. It is demanding that the agreement be terminated, and that it receive damages.
Qualcomm's suit did not detail how TI breached the deal except to say that the breach occurred in early May. This is around the same time that TI announced an alliance with STMicroelectronics and Nokia to produce CDMA chipsets they plan to target at handset makers worldwide.
Lou Lupin, Qualcomm's senior vice president general counsel, would not comment directly on how the suit related to the May agreement between TI, Nokia and STM. He did say that the agreement did not prohibit TI from working with third parties on CDMA-based products.
Rather, the suit had been brought because "disclosures that shouldn't have been made was by them in that time frame."
Lupin added that if the agreement is terminated, any CDMA-based products currently made by TI would risk breaching Qualcomm's patents unless a new license deal was struck.
Lupin declined to quantify the amount of damages Qualcomm is seeking, except to say it was "substantial in light of our company."
A spokeswoman for Texas Instruments said on Friday evening that the company had not seen the suit and could not yet comment.
Source: Computerwire


URL: http://www.datamonitor.comRepublication or redistribution, including by framing or similar means,is expressly prohibited without prior written consent. Datamonitor shall not be liable for errors or delays in the content, or for any actions taken in reliance thereon
Copyright (C) 2003 Datamonitor. All rights reserved
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SUBJECT CODE: QUALCOMM Incorporated TI Group plc

Texas Instruments Responds to Qualcomm Suit
DALLAS, Jul 28, 2003 /PRNewswire-FirstCall via COMTEX/ -- In response to a complaint filed by Qualcomm Incorporated (Nasdaq: QCOM) on Friday, July 25, 2003, Texas Instruments Incorporated (NYSE: TXN) issued the following statement from Joseph F. Hubach, TI senior vice president, secretary and general counsel:
"We have reviewed the complaint against TI and feel it is without merit. We will contest it vigorously. We believe this complaint may be motivated by TI's recent announcement that we will begin sampling cdma2000 1X chips to a broad range of customers. Qualcomm has enjoyed many years of selling CDMA chips against little or no competition. TI intends to establish this market as a level playing field in which open competition prevails and consumers benefit. This is the case in every other wireless market in which TI competes. Qualcomm's legal maneuvers will not distract us from pursuing the CDMA market."
On May 15, TI announced its plans to offer chips based on the cdma2000 1X standard with samples available this quarter.
About TI
Texas Instruments Incorporated provides innovative DSP and analog technologies to meet our customers' real world signal processing requirements. In addition to Semiconductor, the company's businesses include Sensors & Controls, and Educational & Productivity Solutions. TI is headquartered in Dallas, Texas, and has manufacturing, design or sales operations in more than 25 countries.
Texas Instruments is traded on the New York Stock Exchange under the symbol TXN. More information is located on the World Wide Web at www.ti.com.
Safe Harbor Statement
Statements contained in this press release regarding litigation with Qualcomm Incorporated, TI's intentions with respect to the CDMA market and products, and other statements of management's beliefs, goals and expectations may be considered forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995, and are subject to risks and uncertainties that could cause actual results to differ materially from those expressed or implied by these statements. The following factors and the factors discussed in TI's most recent Form 10-K could cause actual results to differ materially from the statements contained in this press release: unexpected developments in the litigation with Qualcomm. We disclaim any intention or obligation to update any forward-looking statements as a result of developments occurring after the date of this press release.
SOURCE Texas Instruments Incorporated


CONTACT: Media - Gail Chandler, +1-214-480-6808, or Kathryn Bengtson, +1-214-480-2046, or Investors - Ron Slaymaker, +1-214-480-6388, all of Texas Instruments Incorporated /Photo: NewsCom: http://www.newscom.com/cgi-bin/prnh/20010105/NEF016LOGO AP Archive: http://photoarchive.ap.org PRN Photo Desk, +1-888-776-6555 or +1-201-369-3467URL: http://www.prnewswire.com" target="_new">http://www.ti.comhttp://www.prnewswire.com
Copyright (C) 2003 PR Newswire. All rights reserved.
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KEYWORD: TexasINDUSTRY KEYWORD: CPR EDA ECP SEM HRDSUBJECT CODE: LAW

WSJE(7/28) Nokia Comes To Grips With Its Hand-Held Problem
(From The Wall Street Journal Europe) By David Pringle
Elst, Netherlands -- THREE YEARS AGO, Wim Krabbenborg, a police officer here, began using a new device from Nokia Corp., the world's largest cellphone maker, that let him check car registrations in seconds without making a call.
The gadget was a unique, souped-up cellphone-cum-computer that allows users to quickly call up information while away from their desk. Nokia, based in Espoo, Finland, hoped that big companies and organizations would issue this 9110i Communicator to their employees by the thousand.
But in the past year, Mr. Krabbenborg, a chief inspector in the Gelderland-Midden region, has switched brands. When he flags down a car these days, he taps the number on the registration plate into an ipaq, a personal organizer developed by Compaq, now part of Hewlett-Packard Co. Within seconds, the driver's name and address flash on the screen.
"The ipaq is better," Mr. Krabbenborg says, tapping the organizer's screen with a stylus to call up a map showing recent burglaries in Elst. "Pictures are better, the resolution is better."
That says a lot about Nokia's fortunes to date in the nascent market for employer-issued hand-held computers. Rather than launching the next big thing, it has run into fierce competition from Hewlett-Packard. Even though it doesn't include a phone, the ipaq is the most popular hand-held computer with companies world-wide, according to U.S. research firm Gartner Group.
Now Nokia, determined to try again, is gearing up for battle in both Europe and the U.S. There is much at stake: Nokia and H-P -- as well as No. 1 hand-held maker Palm Inc. and computer maker Dell Inc., which also are pushing into the market -- are fighting to be the standard-setter. The outcome will help determine which dictates the future of wireless computing, the mobile-phone industry or the computing industry.
Gartner estimates corporate buyers now spend just a quarter of the $3.5 billion spent annually on personal organizers, which include Palm's products and portable e-mail devices such as the Blackberry. But a growing number of organizations -- ranging from the Dutch police to the city of Bellevue in Washington state and U.K.-based retailer Body Shop International PLC -- are giving employees wireless access to central computer systems by providing them with these gizmos. Keith Westhead, an analyst with Deutsche Bank in London, forecasts that in 2007 employers globally will spend as much as 8.5 billion euros on devices that combine the functions of a phone and a personal organizer.
Nokia sat out the boom in personal organizers, convinced that more sophisticated cellphones were the way forward. But now, with growth in cellphone sales slowing and its overall revenue flat for the past two years, it needs to find major new markets. Corporate-issued computers could be a way to bolster the top line.
Jorma Ollila, Nokia's chief executive, said two weeks ago he is setting up a unit, reporting directly to him, to tackle the corporate market. "The business market does stand as a very major priority," he added. Also in are the works is a new version of the Communicator that a spokesman says will be launched "with the latest features . . . in due course." It will join a growing range of high-end handsets aimed by the Finland-based company at the business market.
Nokia also has teamed up with software companies Oracle Corp. and International Business Machines Corp., to offer companies devices with software that gives wireless access to corporate computers. Both Oracle and IBM have plenty of experience selling to large companies and both are longstanding foes of Microsoft Corp., which supplies the software for H-P's ipaq. In an effort to woo the U.S. market, Nokia also has licensed e-mail software from Research In Motion Ltd., the Waterloo, Ontario, maker of the Blackberry device that has been a big hit with Wall Street bankers.
But analysts say Nokia faces a struggle because it lacks close relationships with large corporations. "They are walking into some pretty big players," says Randy Giusto, a Boston-based analyst with research firm International Data Corp.
In addition, its experience hasn't been encouraging. When it launched the Communicator in 2000, there was nothing else like it -- a clamshell handset with a full alphabetical keyboard and a browser that could access a stripped down version of the Internet. But critics focused on its heft rather than its features, dubbing it a brick.
In 2000, the police force in the Gelderland-Midden region of Holland issued Nokia Communicators to five officers to test whether it would allow them to spend more time on the beat and less in the police station. The Nokia phones were able to pull down criminal records, car details and other data in police files using software supplied by Oracle.
But what the experience showed, Mr. Krabbenborg says, is that the wireless technology used by the Communicator is slow and expensive and its screen isn't good enough. The Gelderland-Midden police force has since issued H-P ipaqs to more than 100 officers. Geodan Mobile Solutions BV, the Amsterdam-based company that set up the system for the Dutch police, expects ipaqs to be issued to several hundred more officers in other regions this year.
Not everyone is down on the old "brick," though. Cor van Ekris, an officer in the Binnensticht Utrecht district, says he finds it difficult to enter information into the ipaq when he is traveling fast in a car, because it requires using a stylus. "The ipaq doesn't have a keyboard; it's a major problem," he says. Also, the Communicator has been well-received by some organizations -- Deutsche Bahn AG, the German train company, is handing out 5,700 of them to conductors.
But even in Nokia's stronghold, Europe, the Middle East and Africa, analysts believe the Communicator badly trails the ipaq. U.K.-based research firm canalys.com Ltd. estimates fewer than 50,000 Communicators are sold in the region each quarter, compared with about 150,000 ipaqs. Hewlett-Packard, for now, doesn't appear worried the gap will close. Rob Idink, H-P's hand-held director in the region, says he hasn't yet seen much competition in the corporate market for hand-held computers from its Finland-based rival. "Today, Nokia is not in there," he adds.
(END) Dow Jones Newswires
07-28-03 0030ET

Nokia lobbies China telcos to use its 3G CDMA standard not Qualcomm's -
report
BEIJING, Jul 28, 2003 (AFX-ASIA via COMTEX) -- Nokia Corp is lobbying Chinese telecom carriers to adopt its EV-DV 3G CDMA mobile standard, which would replace Qualcomm Inc's EV-DO technology, the Economic Observer reported, citing industry sources.
Nokia officials were not immediately available for comment.
The newspaper said Nokia's chief executive Jorma Ollila contacted several domestic telecom carriers on the issue, including China United Telecommunications Corp (Unicom Group), when he visited China in June.
It quoted Nokia sources as saying the CDMA EV-DV standard will provide compatibility with the older 2.5G CDMA2000 1x handsets, while CDMA EV-DO cannot, adding EV-DO has only been adopted by South Korea, with limited growth potential.
The newspaper said this is Nokia's second move to challenge Qualcomm's leading position in the domestic mobile handset sector, after announcing last month that it will start producing CDMA handsets in the country using self-developed chipsets in September.
"We will begin producing CDMA handsets in China using our internally developed chipsets, and in fact, we have already been selling CDMA mobile phones in the US using our own chipsets for several years," Zhuang Nanbin, corporate communications officer for Nokia China, told AFX-Asia in June.
Zhuang would not say how many sales of CDMA handsets Nokia is targeting in China this year, but he admitted Unicom Group has played a role in prompting Nokia to apply for a CDMA handset-manufacturing license.
The newspaper said Nokia has shifted its focus to the CDMA handset sector, largely due to the stagnant profit in the GSM handset sector.
Its net profit in the second quarter fell 28 pct year-on-year, while sales climbed only 2.0 pct, even though its GSM mobile handset shipments were up 14 pct, it added.
(1 usd = 8.3 yuan)
yan.fang@xfn.com
fy/hw/wpf


By Staff Reporter
(C) 2003 XFN, Inc. All rights reserved.
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INDUSTRY KEYWORD: Fixed-Line Telecommunication Services Wireless Telecommunication Services Telecommunications Equipment Commercial Vehicles & Trucks Engineering - Contractors Engineering Fabricators Engineering - General

Nortel builds network for Taiwan-based telecomms company
Jul 28, 2003 (TELECOMWORLDWIRE via COMTEX) -- Communications and information exchange company Nortel Networks has completed the installation of a 3G wireless data network in Taiwan for Asia Pacific Broadband Wireless, a communications provider.
Under the terms of the agreement Nortel has supplied a circuit core, packet core and access network through the use of its CDMA Metro Cell radio base stations, CDMA2000 1xEV-DO Radio Network Controller and Element Management System, CDMA Packet Data Service Node, Passport 8600 Gigabit Ethernet Routing Switch and Passport 7000 Multiservice Switch.
Asia Pacific Broadband Wireless expects to launch its 3G service some time in the third quarter of 2003.
No pricing details were disclosed.
(C)1994-2003 M2 COMMUNICATIONS LTD http://www.m2.com
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3 UK: lastminute.com launches on 3, the video mobile network Browse
travel and holiday bargains on your video mobile
Jul 28, 2003 (M2 PRESSWIRE via COMTEX) -- 3 UK, the video mobile company, has partnered with lastminute.com, Europe's leading online travel agency, to launch a unique service on its network. This new service will allow 3 customers to search for great deals on lastminute.com holidays and lifestyle products and research travel information from their 3 video mobiles.
The partnership is the first time that consumer content has been prepared and published on the network independent from 3 - the content is hosted and sourced by lastminute.com. The deals are constantly updated, enabling customers to get the latest offers while on the move.
The lastminute.com service, available through 3, offers quick solutions and great value on everything from package holidays to flights, hotels, city breaks, restaurants, going out and gifts. Fancy a trip abroad but don't have the time to get to your PC? With 3 and lastminute.com customers can plan a trip to Barbados or Berlin while they are heading for home in a taxi, lounging in the park or larking about on the town with their mates - all via their 3 video mobile.
Graeme Oxby, 3 UK, Marketing Director said, "This is the first consumer service that we've offered to our customers that is prepared and managed by a partner.
This is an important milestone for 3, as our customers will be accessing a greater range and choice of services direct from 3 partners. With this agreement lastminute.com's comprehensive range of information, services and deals are now accessible to our customers, this means you can choose your hotel, restaurant, or holiday all from one of our video mobiles."
Andrew Windsor, Group Commercial Director, lastminute.com said, "The partnership with 3 continues lastminute.com's commitment to ensuring that we can make our service available to customers on the communications device which suits them best. Customers make impulse decisions all the time and now we have the deals and functionality to allow them to make the most of the lastminute.com service from their mobile phones."
About 3 Hutchison
3G UK Limited delivers video mobile services under the 3 brand in the UK, offering a convergence of media, information and telephony to enable live video calls, multimedia content and entertainment while on the move.
3 services are also available from sister companies in Australia, Austria, Italy and Sweden.
For further information, please visit: www.three.co.uk
About lastminute.com
lastminute.com is one of Europe's leading online retailers offering lifestyle products. Based on the idea of matching supply and demand, it offers consumers last minute opportunities to acquire airline tickets, hotel rooms, package holidays, entertainment tickets, restaurant reservations and home delivery, speciality services, gifts and auctions.
Operating across 12 countries (United Kingdom, France, Germany, Italy, Sweden, Spain, The Netherlands, Belgium, Australia, New Zealand, South Africa and Japan), lastminute.com has established approximately 15,000 supplier relationships and over 7 million subscribers to its weekly newsletter.
lastminute.com also owns and operates online brands travelselect.com, travel4less.co.uk and eXhilaration.co.uk in the UK and Degriftour.com, travelprice.com and holidayautos.com in Europe and has a stake in LCC24.com the online vehicle for Lufthansa City Center in Germany.
More information available at www.lastminute.com/ir
CONTACT: 3 UK Tel: +44 (0)20 7010 9312 e-mail: media@three.co.uk Joe Public Tel: +44 (0)20 8434 5555 e-mail: rebeccas@joepublicrelations.co.uk Rebecca Woodward, Biss Lancaster Euro RSCG for lastminute.com Tel: +44 (0)20 7539 2621 e-mail: rebecca.woodward@bisslancaster.com
M2 Communications Ltd disclaims all liability for information provided within M2 PressWIRE. Data supplied by named party/parties. Further information on M2 PressWIRE can be obtained at http://www.presswire.net on the world wide web. Inquiries to info@m2.com.
(C)1994-2003 M2 COMMUNICATIONS LTD
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Telecom Equipment Industry Consensus Table
Jul 26, 2003 (Nelson's Broker Summaries via COMTEX) --
COMPANY TICKER RECOMMENDATION FY CONS ESTAdc Telecommunications In ADCT Hold -0.05Corning, Inc. GLW Hold 0.07InterDigital Communications Corp. IDCC Buy 1.43(nasdaq:ADCT)(nyse:GLW) (nasdaq:IDCC)
http://www.thomsonfinancial.com
Copyright 2003, Nelson Information, a Thomson Financial company
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InterDigital Communications Corp. EPS Estimated At 0.39
Jul 26, 2003 (Nelson's Broker Summaries via COMTEX) --
Company: InterDigital Communications Corp. (nasdaq:IDCC)Report Headline: "INTERDIGITAL COMMUNICATIONS CORP."Report Date: July 23, 2003Current FY EPS Estimate [FY2003]: 0.39Previous EPS Estimate for Current FY [FY2003]: N/ACurrent Quarter EPS Estimate [Q3]: -0.02Next FY EPS Estimate [FY2004]: 4.27Previous EPS Estimate for Next FY [FY2004]: N/ACurrent Recommendation: Buy
Research Firm: U.S. Bancorp Piper JaffrayAnalyst: Samuel S. MayIndustry: Telecom Equipment
http://www.thomsonfinancial.com
Copyright 2003, Nelson Information, a Thomson Financial company
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InterDigital Communications Corp. Consensus Recommendation: Buy
Jul 26, 2003 (Nelson's Broker Summaries via COMTEX) --
Company: InterDigital Communications Corp. (nasdaq:IDCC)Consensus Recommendation: Buy(Strong Buy: 1, Buy: 2, Hold: 0, Underperform: 0, Sell: 0)Quarter Consensus Estimate [Q3]: 0.01FY Consensus Estimate [FY2003]: 1.43Next FY Consensus Estimate [FY2004]: 3.04Industry: Telecom Equipment
http://www.thomsonfinancial.com
Copyright 2003, Nelson Information, a Thomson Financial company
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China's trials of mobile technology may wrap up this year
Jul 24, 2003 (The Asian Wall Street Journal - ABIX via COMTEX) -- Chinese trials of third-generation (3G) mobile telephone technologies should be completed by the end of 2003. The government could then issue 3G licenses to telecommunications operators. The government has been conducting laboratory trials. Field trials by operators should occur in the next few months. The tests include the major global standards, WCDMA and CDMA2000 and the home-grown TD-SCDMA. Qualcomm Incorporated's Jing Wang says the government should give operators the right to choose technologies.
Publication Date: 23 July 2003


QUALCOMM INCORPORATED
By Andrew Batson
All copyright subsisting under the Copyright Act 1968 (Commonwealth) resides in us.No part of the copyright materials may be reproduced, re-used, re-transmitted,adapted, published, broadcast or distributed for any commercial purposeswhatsoever without our prior written permission.
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INDUSTRY KEYWORD: Communication Services Government AdministrationSUBJECT CODE: MOBILE TELEPHONES - CHINA MOBILE TELEPHONES - CHINA - REGULATION

Thanks Data.eom

Alley, From your biggest fan..Thank you.

Lucent Wins $1 Billion Sprint Deal
Jul 23, 2003 (Communications Today/PBI Media via COMTEX) -- In a sign that carrier spending might be on the upswing, Lucent Technologies [NYSE: LU] on Tuesday signed a $1 billion, multi-year deal with Sprint [NYSE: FON, PCS] to upgrade the company's the phone company's U.S. wireless network. Lucent will provide Sprint with third-generation (3G) mobile equipment, including base stations, switching equipment and related software and services, for the national network of the company's PCS unit. The company said the new equipment will allow Sprint to increase coverage and capacity, as well as enable it to offer more advanced data services on its network.
This past week, Lucent said it would not meet its targets for profitability in the current fiscal year due to weakness in the wireless market. For more on this and other hot news in the fiber industry, read the next edition of Fiber Optics News. For subscription information, visit the "newsstand" at http://www.TelecomWeb.com.
[Copyright 2003 PBI Media, LLC. All rights reserved.]
Communications Today, Vol. 9, No. 133 [Copyright 2003 PBI Media, LLC. All rights reserved.]
Copyright 2003 PBI Media, LLC. All rights reserved.
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*DJ Qualcomm CEO Says CDMA Gaining Momentum In China, India
(MORE) Dow Jones Newswires
07-23-03 1740ET

DJ CORRECT: InterDigital, Nokia Patent Pact In '99, Not '92
InterDigital Communications Corp. (IDCC) contends that a 1999 patent agreement with Nokia established that a license deal like the one struck with Ericsson would determine Nokia's obligations.
(A story at 3:46 p.m. EDT included an incorrect date for the agreement.)

(END) Dow Jones Newswires
07-23-03 1621ET

DD- You did it !DJ CORRECT: InterDigital, Nokia Patent Pact In '99, Not '92
InterDigital Communications Corp. (IDCC) contends that a 1999 patent agreement with Nokia established that a license deal like the one struck with Ericsson would determine Nokia's obligations.
(A story at 3:46 p.m. EDT included an incorrect date for the agreement.)

(END) Dow Jones Newswires
07-23-03 1621ET

AT&T Wireless Taps Nortel and Ericsson for Networking Deal
ERA 2003, Jul 23, 2003 (M2 PRESSWIRE via COMTEX) -- AT&T Wireless has tapped Nortel Networks and Ericsson to deploy its W-CDMA (Wideband Code Division Multiple band Access) wireless network in North America.
The W-CDMA network will support high speed VPN access, audio and video applications, as well as advanced location-based and m-Commerce features, according to AT&T.
AT&T Wireless's selection of Nortel and Ericsson is part of its agreement, announced last year, to work with Japan's DoCoMo to launch four W-CDMA networks in U.S.markets by the end of 2004.
AT&T Wireless said the W-CDMA networks will allow it to increase subscriber capacity, reduce networking costs and increase data speeds required for delivering wireless broadband 3G services to consumers and enterprise customers.
The W-CDMA radio equipment will operate on the 1900 MHz spectrum and use the same core equipment AT&T Wireless currently employs to support advanced voice and data services, the company said.
((Comments on this story may be sent to newsdesk@10meters.com)) ((Distributed via M2 Communications Ltd - http://www.m2.com))


URL: http://www.10meters.com
(C)2003 10Meters
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OT:QUALCOMM Announces Third Quarter Fiscal 2003 Results Revenues $922
Million, EPS $0.23 Revenues $891 Million, EPS $0.33 Excluding QSI Segment
SAN DIEGO, Jul 23, 2003 /PRNewswire-FirstCall via COMTEX/ -- QUALCOMM Incorporated (Nasdaq: QCOM) today announced its third quarter fiscal 2003 results ended June 29, 2003. Revenues were $922 million in the third fiscal quarter, up 20 percent year-over-year. Third quarter net income was $192 million, compared to a loss of $14 million year-over-year. Earnings per share were $0.23, compared to a loss of $0.02 per share year-over-year.
Revenues excluding the QUALCOMM Strategic Initiatives (QSI) segment were $891 million in the third fiscal quarter, up 24 percent year-over-year. Net income excluding the QSI segment was $267 million, up 38 percent year-over- year. Earnings per share excluding the QSI segment were $0.33, up 38 percent year-over-year. Detailed reconciliations between total QUALCOMM results and results excluding QSI are included at the end of this news release. Prior period reconciliations are presented on our Investor Relations web page at www.qualcomm.com .
"Our business generates excellent positive cash flows at the same time revenues and earnings continue to grow. As a result, our Board approved a 40 percent increase in cash dividends to return value to our shareholders," said Dr. Irwin Mark Jacobs, chairman and CEO of QUALCOMM. "During the third quarter, we announced several new multimode chips and the industry-leading MSM7xxx family of chips to further strengthen our product road map and support our customers."
"The China and India markets are gaining momentum, and we are encouraged by the performance of CDMA operators in the Americas, Japan and South Korea. During the quarter, Reliance Infocomm launched the first CDMA2000 1X nationwide commercial service in India, bringing advanced 3G wireless voice and data services to more than 250 cities. Reliance, Tata and the other CDMA operators in India totaled over three million subscribers at the end of June. China Unicom launched its prepaid service in several cities. VIVO in Brazil and China Unicom launched commercial BREW(TM) services, and BellSouth International has announced plans to commercially launch BREW in Latin America. Verizon Wireless in the U.S. reported impressive data revenues with its BREW-based Get It Now(SM) service. We believe these events, along with initial deployments of WCDMA in Japan and Europe, will set the stage for CDMA to capture a greater share of the total wireless market over the next year," Jacobs said.
Research and development (R&D) expenses were $136 million, including $1 million for QSI, in the third fiscal quarter, up 15 percent year-over year. The increase in R&D expenses compared to the year ago quarter was primarily related to QCT new product development efforts.
Selling, general and administrative (SG&A) expenses were $117 million, including $8 million for QSI, in the third fiscal quarter, down 23 percent year-over-year. The decrease in SG&A expense compared to the year ago quarter was primarily due to reduced expenses at Vesper, including the effects of foreign currency fluctuations.
Our fiscal 2003 effective income tax rate is now estimated to be 45 percent, compared to 22 percent in fiscal 2002. The change in the estimated 2003 effective tax rate from 43 percent used in the second quarter of fiscal 2003 results in a 48 percent effective tax rate in the third quarter of fiscal 2003. Excluding the QSI segment, our fiscal 2003 effective tax rate estimate remains at 33 percent, compared to 35 percent in fiscal 2002.
QUALCOMM Strategic Initiatives
The QUALCOMM Strategic Initiatives (QSI) segment includes our strategic investments and related income and expenses. Vesper losses before taxes were $20 million in the third fiscal quarter compared to $35 million in the year ago quarter. The balance of the net loss before taxes in QSI was $7 million for the third fiscal quarter compared to $250 million in the year ago quarter. The third quarter of fiscal 2003 net loss included asset impairment charges related to the valuation of our Australian wireless licenses, other-than- temporary losses on investments, our share of equity losses from our investment in Inquam and impairment of a note receivable. Significant offsetting gains included the realization of value of a portion of our Auction Discount Voucher transferred to two wireless operators, realized interest income from our Pegaso investment and realized gains on the sale of marketable securities.
Business Outlook
The following statements are forward-looking and actual results may differ materially. Please see Note Regarding Forward-Looking Statements at the end of this news release for a description of certain risk factors and QUALCOMM's annual and quarterly reports on file with the Securities and Exchange Commission (SEC) for a more complete description of risks.


Fourth Quarter Fiscal 2003 -- Based on the current business outlook, we anticipate that revenues excluding the QSI segment in the fourth fiscal quarter will increase by approximately 2-6 percent year-over-year. We anticipate that earnings per share excluding the QSI segment will be approximately $0.27-$0.29 in the fourth fiscal quarter, compared to $0.31 in the year ago quarter. This estimate assumes shipments of approximately 19-21 million MSM phone chips during the quarter. -- Based on the current business outlook, we anticipate that total QUALCOMM revenues in the fourth quarter will increase by approximately 2-6 percent year-over-year. We anticipate that total QUALCOMM earnings per share will be approximately $0.19-$0.21 in the fourth fiscal quarter, including an estimated $0.08 loss per share attributed to the QSI segment, compared to $0.23 per share in the year ago quarter. Due to their nature, certain income and expense items such as realized gains or losses, gains or losses on derivatives, income related to the use of our FCC Auction Discount Voucher and asset impairments cannot be accurately forecast. Accordingly, the Company excludes such items from its business outlook, and actual results may vary materially from the business outlook if the Company incurs any such income or expense items. Fiscal 2003 -- Based on the current business outlook, we anticipate that revenues excluding the QSI segment will grow by approximately 31-33 percent year-over-year and earnings per share excluding the QSI segment to be in the range of $1.40-$1.42 for fiscal 2003, up 43-45 percent year- over-year. We estimate the CDMA phone market to be 103-108 million units in calendar 2003, and we estimate a decrease of approximately five percent in average selling prices of CDMA phones for fiscal 2003, upon which royalties are calculated. -- Based on the current business outlook, we anticipate that total QUALCOMM revenues will grow by approximately 30-31 percent year-over- year and total QUALCOMM earnings per share to be in the range of $0.84-$0.86 for fiscal 2003, up 91-95 percent year-over-year, including an estimated $0.56 loss per share attributed to the QSI segment. Due to their nature, certain income and expense items such as realized gains or losses, gains or losses on derivatives, income related to the use of our FCC Auction Discount Voucher and asset impairments cannot be accurately forecast. Accordingly, the Company excludes such items from its business outlook, and actual results may vary materially from the business outlook if the Company incurs any such income or expense items.
Cash and Marketable Securities
QUALCOMM's cash, cash equivalents and marketable securities totaled approximately $5.0 billion at the end of the third quarter of fiscal 2003, compared to $4.4 billion on March 30, 2003, $3.9 billion on December 29, 2002 and $3.2 billion on September 29, 2002. We have invested $158 million in net stock repurchases and have paid $79 million in cash dividends since the inception of these programs in February 2003. QSI businesses required funding of $40 million in the third quarter of fiscal 2003, consistent with the second quarter of fiscal 2003. Collection of finance receivables from our Pegaso investment totaled $285 million in the third quarter of fiscal 2003. Detailed reconciliations between total QUALCOMM cash and cash equivalents and cash and cash equivalents including marketable securities and excluding the QSI segment are included at the end of this news release.


Results of Business Segments The following tables present segment information (in thousands): Third Quarter - Fiscal Year 2003 Reconciling Segments QCT QTL QWI Items (1) Revenues 557,240 242,479 113,882 (22,334) Change from prior quarter (15%) (7%) (5%) N/M Change from prior year 38% 22% 4% N/M Earnings (loss) before taxes 163,114 218,363 6,396 10,181 Change from prior quarter (27%) (8%) (13%) N/M Change from prior year 39% 25% 308% N/M Tax rates Net income (loss) Change from prior quarter Change from prior year Diluted net earnings (loss) per common share (3) Change from prior quarter Change from prior year QUALCOMM Total Segments excluding QSI QSI QUALCOMM Revenues 891,267 30,341 921,608 Change from prior quarter (12%) 16% (12%) Change from prior year 24% (39%) 20% Earnings (loss) before taxes 398,054 (27,563) 370,491 Change from prior quarter (14%) 89% 72% Change from prior year 34% 90% 784% Tax rates 33% (172%) 48% Net income (loss) 266,697 (75,008) 191,689 Change from prior quarter (15%) 64% 86% Change from prior year 38% 46% 1492% Diluted net earnings (loss) per common share (3) 0.33 (0.09) 0.23 Change from prior quarter (13%) 65% 77% Change from prior year 38% 50% 1250% Second Quarter - Fiscal Year 2003 Reconciling Segments QCT QTL QWI Items (1) Revenues 652,873 260,110 119,319 (15,524) Earnings (loss) before taxes 223,520 236,192 7,370 (6,431) Tax rates Net income (loss) Diluted net earnings (loss) per common share (3) QUALCOMM Total Segments excluding QSI QSI QUALCOMM Revenues 1,016,778 26,265 1,043,043 Earnings (loss) before taxes 460,651 (245,775) 214,876 Tax rates 32% 14% 52% Net income (loss) 313,858 (210,842) 103,016 Diluted net earnings (loss) per common share (3) 0.38 (0.26) 0.13 Third Quarter - Fiscal Year 2002 Reconciling Segments QCT QTL QWI Items (1) Revenues 404,253 198,853 109,581 8,631 Earnings (loss) before taxes 117,524 174,450 (3,074) 8,906 Tax rates Net income (loss) Diluted net earnings (loss) per common share (3) Goodwill QUALCOMM Amortization Total Segments excluding QSI QSI and Other (2) QUALCOMM Revenues 721,318 49,456 143 770,917 Earnings (loss) before taxes 297,806 (285,454) (66,496) (54,144) Tax rates 35% 51% (1%) 75% Net income (loss) 193,574 (139,872) (67,470) (13,768) Diluted net earnings (loss) per common share (3) 0.24 (0.18) (0.09) (0.02) Nine Months - Fiscal Year 2003 Reconciling Segments QCT QTL QWI Items (1) Revenues 1,919,794 758,012 342,182 (43,979) Earnings (loss) before taxes 674,916 683,964 16,527 5,598 Tax rates Net income (loss) Diluted net earnings (loss) per common share (3) QUALCOMM Total Segments excluding QSI QSI QUALCOMM Revenues 2,976,009 85,811 3,061,820 Earnings (loss) before taxes 1,381,005 (406,389) 974,616 Tax rates 33% 4% 45% Net income (loss) 925,273 (389,234) 536,039 Diluted net earnings (loss) per common share (3) 1.13 (0.48) 0.66 Nine Months - Fiscal Year 2002 Reconciling Segments QCT QTL QWI Items (1) Revenues 1,107,212 603,611 329,140 33,306 Earnings (loss) before taxes 282,189 534,673 (8,271) 28,492 Tax rates Net income (loss) Diluted net earnings (loss) per common share (3) Goodwill QUALCOMM Amortization and Total Segments excluding QSI QSI Other (2) QUALCOMM Revenues 2,073,269 92,262 143 2,165,674 Earnings (loss) before taxes 837,083 (409,241) (195,794) 232,048 Tax rates 35% 56% 0% 27% Net income (loss) 544,104 (178,370) (196,339) 169,395 Diluted net earnings (loss) per common share (3) 0.67 (0.22) (0.24) 0.21 (1) Reconciling items related to revenues consist primarily of other non-reportable segment revenues less intersegment eliminations. Reconciling items related to earnings before taxes consist primarily of corporate expenses, charges that are not allocated to the segments for management reporting purposes, unallocated net investment income, non-reportable segment results, interest expense and the elimination of intercompany profit. (2) Starting in fiscal 2003, the Company no longer records goodwill amortization, in accordance with Financial Accounting Standards No. 142. In the third quarter of fiscal 2002, goodwill amortization and other adjustments included $61.5 million of amortization of goodwill, $4.0 million of amortization of intangible assets and $2.3 million of payroll expenses on stock option exercises, offset by $1.0 million of credits related to the reduction of reserves established in connection with the Globalstar business and $0.2 million of credits and $0.1 million of revenues related to the sale of the terrestrial-based CDMA wireless infrastructure business. In the first nine months of fiscal 2002, goodwill amortization and other adjustments included $183.8 million of amortization of goodwill, $10.1 million of amortization of intangible assets and $5.4 million of payroll expenses on stock option exercises, offset by $3.1 million of credits related to the reduction of reserves established in connection with the Globalstar business and $0.3 million of credits and $0.1 million of revenue related to the sale of the terrestrial-based CDMA wireless infrastructure business. With the adoption of FAS 142 in 2003 and given the immateriality of the other adjustments, the Company no longer makes these adjustments to its results excluding QSI in fiscal 2003. (3) The sum of the earnings per share amounts may not equal total earnings per share due to rounding. N/M - Not Meaningful Business Segment Highlights QUALCOMM CDMA Technologies (QCT) -- Shipped approximately 23 million MSM(TM) phone chips, 97 percent of which were 3G CDMA2000 1X/1xEV-DO, to customers worldwide during the third fiscal quarter, compared to approximately 28 million shipped in the second fiscal quarter and approximately 16 million units shipped in the year ago quarter. -- Shipped CSM infrastructure chips for 3G CDMA2000 1X/1xEV-DO to support more than 2.2 million equivalent voice channels, compared to 1.5 million in the second fiscal quarter and approximately 4 million in the year ago quarter. Equivalent voice channels are provided rather than actual chip shipments because our CSM infrastructure chips currently support from eight to 32 voice channels per chip. -- Shipped samples of the MSM6500(TM) chipset and system software. The MSM6500 chipset supports CDMA2000 1X/1xEV-DO and GSM/GPRS standards, allowing roaming between third-generation (3G) and second-generation (2G) networks. The MSM6500 solution will help accelerate the adoption of feature-rich multimedia applications on wireless consumer devices. -- Announced several chipset and system software products, including: * MSM6025(TM) -- a cost-effective solution to drive CDMA2000 1X adoption in new markets worldwide. * MSM6275(TM) -- a high-performance solution delivering High Speed Downlink Packet Access (HSDPA), a next-generation feature of the WCDMA (UMTS) standard, as well as roaming on GSM and GPRS systems. * CSM6700(TM) and MSM6700(TM) -- solutions supporting integrated voice and simultaneous high-speed packet data with support for CDMA2000 through Revision D and 1xEV-DO. * MSM7xxx family -- a new generation of powerful dual-Central Processing Unit (CPU) single chip solutions to address the growing need for more cost-effective, high-performance solutions that drive full-featured third-generation (3G) multimedia handsets for consumers and high data rate devices for enterprise customers. QUALCOMM Technology Licensing (QTL) -- Signed a total of 14 CDMA license agreements during the third fiscal quarter, including ten new licenses and four amendments to existing license agreements. These royalty-bearing license agreements enable manufacturers to develop, make and sell products based on QUALCOMM's extensive CDMA patent portfolio. -- Reported that licensees around the world are participating in the growing 3G CDMA market: * Thirty-five subscriber licensees reported sales of CDMA2000 1X products and nine subscriber licensees reported sales of WCDMA products through the third fiscal quarter. * Fifteen infrastructure licensees reported sales of CDMA2000 1X products and eight infrastructure licensees reported sales of WCDMA products through the third fiscal quarter. QUALCOMM Wireless & Internet Group (QWI) QUALCOMM Internet Services (QIS) -- Announced several operator developments, including U.S. Cellular's commercial launch of BREW-based service across its CDMA2000 network; KTF, a leading wireless operator in South Korea, renewed its contract to offer its wireless application download service based on the BREW platform; and China Unicom launched commercial BREW-enabled services in Guangdong and Shanghai. -- Announced two additional operators have signed agreements to launch BREW-based wireless data services, BellSouth International in Latin America and Midwest Wireless in the U.S. BellSouth International plans to roll-out BREW-based services in nine BellSouth operating companies in Latin America. -- Hosted the third annual BREW 2003 Developers Conference in San Diego, April 28-30, 2003. A number of announcements and demonstrations were made at the conference, including: * Verizon Wireless announced that in just six months consumers have downloaded 8.5 million Get It Now(SM) games, ring tones, entertainment applications and more. Verizon Wireless also announced it has sold more than 3.2 million BREW-enabled handsets to date and expects to sell more than eight million of these handsets by the end of 2003. Verizon Wireless reported average incremental revenue per active Get It Now(SM) user of more than $7.50 monthly, not including additional airtime revenues. * esmertec demonstrated the world's first implementation of MIDP (Mobile Information Device Profile) 2.0 functionality with its Mobile Foundation Java(TM) virtual machine (JVM) as an extension to the BREW platform. * Rocket Mobile demonstrated the industry's first Multimedia Messaging Services (MMS) message exchange between CDMA and GSM/GPRS networks with its RocketMMS(TM) client, and also unveiled RocketMMS Extension, which enables BREW developers to create applications that take advantage of MMS technologies. -- Demonstrated with QUALCOMM's QChat push-to-talk (PTT) technology an initial call set-up performance of less than two seconds over CDMA2000 infrastructure and handsets between dormant mobiles. QUALCOMM's QChat solution uses voice over Internet protocol (VoIP) technologies to enable ubiquitous, efficient and virtually instantaneous PTT functionality on wireless devices based on CDMA2000 and other CDMA 3G networks. QUALCOMM Wireless Business Solutions(R) (QWBS) -- Shipped approximately 8,400 OmniTRACS(R) units and related products in the third quarter, consistent with the second fiscal quarter. This brings the cumulative total to nearly 479,000 units shipped worldwide. -- Introduced several enhancements to the FleetAdvisor(R) and TrackingAdvisor(R) software for private fleet customers. These enhancements enable improved productivity and customer service, reduced operational costs, and improved operational efficiency. -- Commercially released GlobalTRACS(TM) equipment management system in April 2003; announced an agreement with ACME Lift Company to deploy GlobalTRACS on its fleet of large aerial work platforms. QUALCOMM Strategic Initiatives (QSI) -- Announced a commitment to invest up to $100 million, as part of our $500 million total commitment to QUALCOMM Ventures, in early- to mid- stage Chinese companies engaged in the development and commercialization of CDMA-based products, applications and services.
Conference Call
QUALCOMM's third quarter fiscal 2003 earnings conference call will be broadcast live on July 23, 2003 beginning at 2:30 p.m. Pacific Daylight Time on the Company's web site at: www.qualcomm.com . This conference call may contain forward-looking financial information. The conference call will include a discussion of "non-GAAP financial measures" as that term is defined in Regulation G. The most directly comparable GAAP financial measures and information reconciling these non-GAAP financial measures to the company's financial results prepared in accordance with GAAP, as well as the other material financial and statistical information to be discussed in the conference call, will be posted on the Company's Investor Relations web site at www.qualcomm.com immediately prior to commencement of the call. A taped audio replay will be available via telephone on July 23, 2003 beginning at approximately 4:30 p.m. (PDT) through July 28, 2003 at 4:30 p.m. (PDT). To listen to the replay, U.S. callers may dial (800) 633-8284 and international callers may dial (402) 977-9140. U.S. and international callers should use reservation number 21153017. An audio replay of the conference call will be available on the Company's web site at www.qualcomm.com for two weeks following the live call.
QUALCOMM Incorporated ( www.qualcomm.com ) is a leader in developing and delivering innovative digital wireless communications products and services based on the Company's CDMA digital technology. Headquartered in San Diego, Calif., QUALCOMM is included in the S&P 500 Index and is a 2003 FORTUNE 500(R) company traded on The Nasdaq Stock Market(R) under the ticker symbol QCOM.
Note Regarding Use of Non-GAAP Financial Measures
The Company presents financial information excluding the QUALCOMM Strategic Initiatives (QSI) segment to facilitate evaluation by management, investors and analysts of its ongoing core operating businesses, including QUALCOMM CDMA Technologies (QCT), QUALCOMM Technology Licensing (QTL) and QUALCOMM Wireless & Internet (QWI). QSI results relate to strategic investments for which the Company has exit strategies of varying durations. Management believes that the information excluding QSI presents a more representative measure of the operating and liquidity performance of the Company because it excludes the effect of fluctuations in value of investments that are unrelated to the Company's operational performance. The financial information excluding QSI should be considered in addition, not as a substitute for, or superior to, financial measures calculated in accordance with GAAP. Reconciliations between total QUALCOMM results and results excluding QSI and between total QUALCOMM cash flow and cash, cash equivalents and marketable securities excluding the QSI segment are presented herein.
Note Regarding Forward-Looking Statements
In addition to the historical information contained herein, this news release contains forward-looking statements that are subject to risks and uncertainties. Actual results may differ substantially from those referred to herein due to a number of factors, including but not limited to risks associated with: changing global economic conditions, particularly in the telecommunications and Internet-related industries and the resulting uncertainty in forecasting future results; timing and receipt of license fees and royalties; integrated circuit inventory and order levels; the Company's ability to execute additional 3G licenses; the scale-up, acceptance and operations of CDMA systems, including CDMA2000 1xEV-DO and systems in new markets such as China and India; the ability to sustain or improve operational efficiency and profitability; decreases in the rate of growth in CDMA-based wireless data and Internet access or the CDMA subscriber population; strategic investments, loans, acquisitions or divestitures the Company has or may pursue; the value realized on the sale of the Vesper Companies' business or assets; changes in the fair values of marketable securities and derivative instruments held; the development, deployment and commercial acceptance of evolving CDMA technology standards; developments in current or future litigation; customer receivables and performance guarantees; component shortages; and international business activities, as well as the other risks detailed from time-to-time in the Company's SEC reports.
QUALCOMM(R), QCT(R) QUALCOMM Wireless Business Solutions(R), OmniTRACS(R), MSM(TM), MSM6500(TM), MSM6025(TM), MSM6275(TM), CSM6700(TM), MSM6700(TM), FleetAdvisor(R), TrackingAdvisor(R), MPVc(R), GlobalTRACS(TM) and BREW(TM) are trademarks and/or service marks of QUALCOMM Incorporated. All other trademarks are the property of their respective owners.
For further information, please contact: Julie Cunningham, Sr. Vice President, Investor Relations of QUALCOMM Incorporated, +1-858-658-4224, or fax, +1-858-651-9303, juliec@qualcomm.com


QUALCOMM Incorporated CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS THIS SCHEDULE IS TO ASSIST THE READER IN RECONCILING FROM RESULTS EXCLUDING QSI TO TOTAL QUALCOMM RESULTS (In thousands, except per share data) (Unaudited) Three Months Ended June 29, 2003 Excluding QSI QSI Total QUALCOMM Revenues: Equipment and services $652,233 $30,341 $682,574 Licensing and royalty fees 239,034 -- 239,034 891,267 30,341 921,608 Operating expenses: Cost of equipment and services revenues 286,250 40,652 326,902 Research and development 134,436 1,254 135,690 Selling, general and administrative 109,294 8,192 117,486 Amortization of other acquisition-related intangible assets 1,951 -- 1,951 Asset impairment charges -- 34,113 34,113 Other -- (30,356) (30,356) Total operating expenses 531,931 53,855 585,786 Operating income (loss) 359,336 (23,514) 335,822 Interest expense (260) (9,503) (9,763) Investment income, net 38,978 (a) 5,454 (d) 44,432 Income (loss) before income taxes 398,054 (27,563)(b) 370,491 Income tax expense (131,357)(c) (47,445) (178,802)(c) Net income (loss) $266,697 $(75,008) $191,689 Net earnings (loss) per common share: Diluted $0.33 (e) $(0.09)(e) $0.23 (e) Shares used in per share calculations: Diluted 815,856 815,856 815,856 (a) Includes $29 million in interest income related to cash, cash equivalents and marketable debt securities, which are not part of the Company's strategic investment portfolio. (b) Includes $20 million loss, net of minority interest, of Vesper Holdings from March 1, 2003 through May 31, 2003 due to the Company's practice of consolidating foreign subsidiaries one month in arrears. (c) The estimated fiscal year 2003 effective tax rate for operations excluding QSI and total QUALCOMM are 33% and 45%, respectively. The change in the estimated 2003 effective tax rate for total QUALCOMM from 43% used in the second quarter of fiscal 2003 results in a 48% effective tax rate in the third quarter of fiscal 2003. (d) Includes $30 million interest income, $21 million other-than- temporary losses on investments, $21 million equity losses in investees and $18 million realized gains on marketable securities. (e) The sum of the earnings per share amounts may not equal total earnings per share due to rounding. QUALCOMM Incorporated CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS THIS SCHEDULE IS TO ASSIST THE READER IN RECONCILING FROM RESULTS EXCLUDING QSI TO TOTAL QUALCOMM RESULTS (In thousands, except per share data) (Unaudited) Nine Months Ended June 29, 2003 Excluding QSI QSI Total QUALCOMM Revenues: Equipment and services $2,243,708 $85,811 $2,329,519 Licensing and royalty fees 732,301 -- 732,301 2,976,009 85,811 3,061,820 Operating expenses: Cost of equipment and services revenues 978,754 118,077 1,096,831 Research and development 374,440 5,530 379,970 Selling, general and administrative 333,050 68,159 401,209 Amortization of other acquisition-related intangible assets 5,888 -- 5,888 Asset impairment charges -- 194,258 194,258 Other -- (30,356) (30,356) Total operating expenses 1,692,132 355,668 2,047,800 Operating income (loss) 1,283,877 (269,857) 1,014,020 Interest expense (1,974) (18,549) (20,523) Investment income (expense), net 99,102 (a) (117,983)(d) (18,881) Income (loss) before income taxes 1,381,005 (406,389)(b) 974,616 Income tax (expense) benefit (455,732)(c) 17,155 (438,577)(c) Net income (loss) $925,273 $(389,234) $536,039 Net earnings (loss) per common share: Diluted $1.13 (e) $(0.48)(e) $0.66 (e) Shares used in per share calculations: Diluted 816,563 816,563 816,563 (a) Includes $83 million in interest income related to cash, cash equivalents and marketable debt securities, which are not part of the Company's strategic investment portfolio. (b) Includes $212 million loss, net of minority interest, of Vesper Holdings from September 1, 2002 through May 31, 2003 due to the Company's practice of consolidating foreign subsidiaries one month in arrears. (c) The estimated fiscal year 2003 effective tax rate for operations excluding QSI and total QUALCOMM are 33% and 45%, respectively. (d) Includes $111 million other-than-temporary losses on investments, $110 million equity losses in investees, $45 million interest income, $37 million minority interest in loss of consolidated subsidiaries and $23 million realized gains on marketable securities. (e) The sum of the earnings per share amounts may not equal total earnings per share due to rounding. QUALCOMM Incorporated CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS AND MARKETABLE SECURITIES THIS SCHEDULE IS TO ASSIST THE READER IN RECONCILING CASH FLOWS FROM CASH CASH EQUIVALENTS AND MARKETABLE SECURITIES EXCLUDING QSI TO TOTAL QUALCOMM CASH FLOWS (In thousands) (Unaudited) Three Months Ended June 29, 2003 (c) Excluding Total QSI QSI QUALCOMM Earnings before taxes, depreciation, amortization and other adjustments (1) $424,137 $26,714 $450,851 Working capital changes and taxes paid (2) (110,163) 4,411 (105,752) Net cash provided by operating activities 313,974 31,125 345,099 Capital expenditures (44,176) (10,859) (55,035) Net cash provided by operating activities less capital expenditures 269,798 20,266 290,064 Net additional share capital 19,980 -- 19,980 Repurchases of common stock (42,047) -- (42,047) Dividends paid (79,007) -- (79,007) Net collections of finance receivables 55 282,734 282,789 Other investments -- (2,062) (2,062) Other items (1,349) (9,228) (10,577) Changes in fair value and other changes to marketable securities 17,766 32,823 50,589 Marketable securities pending settlement payment (receipt) 94,712 (4,830) 89,882 Transfer from QSI (3) 354,965 (354,965) -- Transfer to QSI (4) (39,837) 39,837 -- Net increase in cash, cash equivalents and marketable securities (5) $595,036 $4,575 $599,611 (1) Reconciliation to GAAP: Net income (loss) $266,697 $(75,008) $191,689 Non-cash adjustments (a) 153,547 119,969 273,516 Net realized gains on marketable securities and other investments (9,892) (18,247) (28,139) Plus: Taxes paid 13,785 -- 13,785 Earnings before taxes, depreciation, amortization and other adjustments $424,137 $26,714 $450,851 (2) Reconciliation to GAAP: (Decrease) increase in cash resulting from changes in working capital $(96,378) $4,411 $(91,967) Minus: Taxes paid (13,785) -- (13,785) Working capital changes and taxes paid $(110,163) $4,411 $(105,752) (3) Cash from loan payments and sale of equity securities. (4) Funding for strategic debt and equity investments, operations of Vesper and other QSI operating expenses. (5) Reconciliation to GAAP cash flow statement: Net decrease in cash and cash equivalents (GAAP) $(185,846) $(9,170) $(195,016) Plus: Net purchase (proceeds) of marketable securities 668,404 (14,248) 654,156 Plus: Net increase in fair value and other changes to marketable securities 17,766 32,823 50,589 Plus: Net increase in marketable securities pending settlement payment (receipt) 94,712 (4,830) 89,882 Net increase in cash, cash equivalents and marketable securities $595,036 $4,575 $599,611 (a) See detail following the nine month cash flow schedule. QUALCOMM Incorporated CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS AND MARKETABLE SECURITIES THIS SCHEDULE IS TO ASSIST THE READER IN RECONCILING CASH FLOWS FROM CASH, CASH EQUIVALENTS AND MARKETABLE SECURITIES EXCLUDING QSI TO TOTAL QUALCOMM CASH FLOWS (In thousands) (Unaudited) Nine Months Ended June 29, 2003 (c) Excluding Total QSI QSI QUALCOMM Earnings before taxes, depreciation, amortization and other adjustments (1) $1,475,201 $(16,830) $1,458,371 Working capital changes and taxes paid (2) (227,637) 23,692 (203,945) Net cash provided by operating activities 1,247,564 6,862 1,254,426 Capital expenditures (157,515) (28,491) (186,006) Net cash provided by operating activities less capital expenditures 1,090,049 (21,629) 1,068,420 Net additional share capital 132,676 -- 132,676 Repurchases of common stock (158,488) -- (158,488) Dividends paid (79,007) -- (79,007) Net collections of finance receivables 6,845 654,956 661,801 Other investments -- (33,800) (33,800) Other items (2,628) (31,391) (34,019) Changes in fair value and other changes to marketable securities 42,123 46,151 88,274 Marketable securities pending settlement payment (receipt) 127,767 (9,542) 118,225 Transfer from QSI (3) 747,665 (747,665) -- Transfer to QSI (4) (149,330) 149,330 -- Net increase in cash, cash equivalents and marketable securities (5) $1,757,672 $6,410 $1,764,082 (1) Reconciliation to GAAP: Net income (loss) $925,273 $(389,234) $536,039 Non-cash adjustments (b) 487,992 395,800 883,792 Net realized gains on marketable securities and other investments (16,011) (23,396) (39,407) Plus: Taxes paid 77,947 -- 77,947 Earnings (loss) before taxes, depreciation, amortization and other adjustments $1,475,201 $(16,830) $1,458,371 (2) Reconciliation to GAAP: (Decrease) increase in cash resulting from changes in working capital $(149,690) $23,692 $(125,998) Minus: Taxes paid (77,947) -- (77,947) Working capital changes and taxes paid $(227,637) $23,692 $(203,945) (3) Cash from loan payments and sale of equity securities. (4) Funding for strategic debt and equity investments, operations of Vesper and other QSI operating expenses. (5) Reconciliation to GAAP cash flow statement: Net increase (decrease) in cash and cash equivalents (GAAP) $402,188 $(14,067) $388,121 Plus: Net purchase (proceeds) of marketable securities 1,187,679 (16,132) 1,171,547 Plus: Net increase in fair value and other changes to marketable securities 42,123 46,151 88,274 Plus: Net increase in marketable securities pending settlement payment (receipt) 127,767 (9,542) 118,225 Less: Proceeds from trading securities included in working capital change (2,085) -- (2,085) Net increase in cash, cash equivalents and marketable securities $1,757,672 $6,410 $1,764,082 (b) See detail on the following page. QUALCOMM Incorporated SUPPLEMENTAL DETAIL TO THE CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS AND MARKETABLE SECURITIES (In thousands) (Unaudited) Three Months Ended June 29, 2003 Excluding Total QSI QSI QUALCOMM (a) Non-cash adjustments are comprised of: Depreciation and amortization $35,476 $7,567 $43,043 Asset impairment and related charges -- 34,113 34,113 Change in fair values of derivative investments -- 1,381 1,381 Other-than-temporary losses on marketable securities and other investments -- 21,105 21,105 Minority interest in loss of consolidated subsidiaries -- (242) (242) Equity in losses of investees 45 20,993 21,038 Non-cash income tax expense 117,571 47,446 165,017 Other non-cash charges and credits 455 (12,394) (11,939) Total non-cash adjustments $153,547 $119,969 273,516 Nine Months Ended June 29, 2003 Excluding Total QSI QSI QUALCOMM (b) Non-cash adjustments are comprised of: Depreciation and amortization $101,216 $31,353 $132,569 Asset impairment and related charges -- 194,258 194,258 Change in fair values of derivative investments -- 1,261 1,261 Other-than-temporary losses on marketable securities and other investments 349 111,306 111,655 Minority interest in loss of consolidated subsidiaries -- (36,795) (36,795) Equity in losses of investees 45 110,219 110,264 Non-cash income tax expense 377,785 (17,155) 360,630 Other non-cash charges and credits 8,597 1,353 9,950 Total non-cash adjustments $487,992 $395,800 883,792 (c) The Company's management uses this non-GAAP presentation to analyze increases and decreases in certain of its liquid assets, comprised of cash, cash equivalents and marketable securities. Management views certain marketable debt securities as liquid assets available to fund operations, which result from cash management strategies designed to increase yields. However, these instruments do not meet the definition of cash equivalents in accordance with Statement of Financial Standards No. 95, "Statement of Cash Flows" and must be excluded from the GAAP statements of cash flows. Since the GAAP statements of cash flows reconcile the Company's beginning and ending cash and cash equivalents balances, the purchases and sales of marketable securities are presented as inflows and outflows. For internal analysis of the Company's cash position, management does not view these transactions as inflows and outflows from the business, but as cash management transactions. If required, such investments could be settled relatively quickly as additional cash resources are needed. The Company believes that this non-GAAP presentation is a helpful measure of the Company's liquidity. QUALCOMM Incorporated CONDENSED CONSOLIDATED BALANCE SHEETS (In thousands, except per share data) (Unaudited) ASSETS QUALCOMM Excluding QSI QSI (a)(b) QUALCOMM QUALCOMM June 29, June 29, June 29, September 29, 2003 2003 2003 2002 Current assets: Cash and cash equivalents $1,785,824 $9,001 $1,794,825 $1,406,704 Marketable securities 2,524,102 41,091 2,565,193 1,411,178 Accounts receivable, net 577,016 43,064 620,080 536,950 Finance receivables, net 3,505 382 3,887 388,396 Inventories, net 111,890 11,107 122,997 88,094 Deferred tax assets (b) 608,528 -- 608,528 122 Other current assets 114,244 22,000 136,244 109,322 Total current assets 5,725,109 126,645 5,851,754 3,940,766 Marketable securities 469,903 133,673 603,576 381,630 Finance receivables, net 4,187 180,083 184,270 442,934 Other investments 4,722 133,952 138,674 276,414 Property, plant and equipment, net 508,918 110,471 619,389 686,283 Goodwill, net 344,753 1,865 346,618 344,803 Deferred tax assets (b) 309,314 -- 309,314 7,493 Other assets 231,371 185,036 416,407 425,725 Total assets $7,598,277 $871,725 $8,470,002 $6,506,048 LIABILITIES AND STOCKHOLDERS' EQUITY Current liabilities: Trade accounts payable $108,258 $64,834 $173,092 $209,418 Payroll and other benefits related liabilities 117,284 8,265 125,549 126,005 Unearned revenue 171,367 6,758 178,125 183,482 Current portion of long-term debt -- 98,416 98,416 19,355 Other current liabilities 243,210 28,936 272,146 136,726 Total current liabilities 640,119 207,209 847,328 674,986 Unearned revenue 258,147 135 258,282 259,995 Long-term debt -- 107,118 107,118 94,288 Other liabilities 48,552 3,127 51,679 40,283 Total liabilities 946,818 317,589 1,264,407 1,069,552 Minority interest in consolidated subsidiaries 50 -- 50 44,540 Stockholders' equity: Preferred stock, $0.0001 par value -- -- -- -- Common stock, $0.0001 par value 80 -- 80 79 Paid-in capital 6,184,743 -- 6,184,743 4,918,202 Retained earnings 1,061,656 -- 1,061,656 604,624 Accumulated other comprehensive loss (29,421) (11,513) (40,934) (130,949) Total stockholders' equity 7,217,058 (11,513) 7,205,545 5,391,956 Total liabilities and stockholders' equity $8,163,926 $306,076 $8,470,002 $6,506,048 (a) Includes the consolidated Vesper Holdings balance sheet at May 31, 2003. The Company consolidates foreign subsidiaries one month in arrears. (b) Deferred tax assets and liabilities are not allocated to the Company's segments. A valuation allowance was provided on all net deferred tax assets of investments that are consolidated by QSI, including Vesper, because of uncertainty regarding their realization. QUALCOMM Incorporated CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (In thousands, except per share data) (Unaudited) Three Months Ended Nine Months Ended June 29, June 30, June 29, June 30, 2003 2002 2003 2002 Revenues: Equipment and services $682,574 $575,434 $2,329,519 $1,568,656 Licensing and royalty fees 239,034 195,483 732,301 597,018 921,608 770,917 3,061,820 2,165,674 Operating expenses: Cost of equipment and services revenues 326,902 288,162 1,096,831 825,273 Research and development 135,690 118,086 379,970 341,709 Selling, general and administrative 117,486 152,072 401,209 376,797 Amortization of goodwill and other acquisition-related intangible assets 1,951 65,024 5,888 192,437 Asset impairment charges 34,113 -- 194,258 -- Other (30,356) 8,955 (30,356) 8,955 Total operating expenses 585,786 632,299 2,047,800 1,745,171 Operating income 335,822 138,618 1,014,020 420,503 Interest expense (9,763) (8,639) (20,523) (17,357) Investment income (expense), net 44,432 (184,123) (18,881) (171,098) Income (loss) before income taxes 370,491 (54,144) 974,616 232,048 Income tax (expense) benefit (178,802) 40,376 (438,577) (62,653) Net income (loss) $191,689 $(13,768) $536,039 $169,395 Net earnings (loss) per common share: Basic $0.24 $(0.02) $0.68 $0.22 Diluted $0.23 $(0.02) $0.66 $0.21 Shares used in per share calculations: Basic 790,511 773,127 787,606 768,663 Diluted 815,856 773,127 (a) 816,563 809,169 Dividends declared per share $0.05 $-- $0.10 $-- (a) The diluted share base excludes the potential dilutive effect of common share equivalents related to outstanding stock options, calculated using the treasury stock method, as these shares are anti- dilutive.
SOURCE QUALCOMM Incorporated


CONTACT: Julie Cunningham, Sr. Vice President, Investor Relations of QUALCOMM Incorporated, +1-858-658-4224, or fax, +1-858-651-9303, juliec@qualcomm.comURL: http://www.qualcomm.com http://www.prnewswire.com
Copyright (C) 2003 PR Newswire. All rights reserved.
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KEYWORD: CaliforniaINDUSTRY KEYWORD: CPR ECP TLS CSE HRD STWSUBJECT CODE: ERN ERP CCA

OT:*DJ QUALCOMM 3Q Rev $891 M, EPS 33c Excluding QSI Segment-

(MORE) Dow Jones Newswires
07-23-03 1601ET

DJ AMEX Most Actives At 4:00 P.M.
NASDAQ-100 Ind 64,244,200 31.51 Up0.17 S&P dep. recpt 35,700,700 99.21 Up0.04 Interdigital C 7,148,288 18.62 Up0.91 Dow Industries 5,155,700 91.99 Up0.33 Semicon HOLDRs 4,618,300 32.46 Up0.66 WEBS Indx Fnd 4,195,900 7.66 Up0.06 Oil Service HO 3,270,900 56.63 Dn0.69 Nabors Indus 2,097,500 37.02 Dn0.48 Grey Wolf 2,047,600 3.71 Dn0.08 Gldn Star 1,976,200 2.98 Up0.19 iShrRu2000 1,934,500 92.76 Up0.24 Mindspeed Tech 1,525,900 3.25 Dn0.05 IShrsLeh20TB 1,373,500 86.63 Up0.37 Biotch HOLDRs 1,367,400 134.27 Up1.42 Dot Hill Sys 1,117,900 15.38 Dn0.32 Devon Energy 1,071,000 48.75 Dn0.25 WEBS Indx Fnd 991,300 10.89 Up0.09 Simula 975,600 2.64 Up0.50 Abeerden Asia- 825,900 5.35 Up0.02 NCE Petrofund 672,400 9.90 Unch
(END) Dow Jones Newswires
07-23-03 1600ET

=DJ InterDigital Call -2: Co: Samsung Can Settle Separately
By Dinah Wisenberg Brin Of DOW JONES NEWSWIRES
PHILADELPHIA (Dow Jones)--Cell-phone giant Nokia Corp. (NOK) agrees it has royalty obligations to wireless technology company InterDigital Communications Corp. (IDCC), but disagrees on the specifics of those obligations, InterDigital executives said during a conference call Wednesday.
InterDigital officials expressed confidence in their company's legal position in arbitration proceedings that Nokia has initiated over the matter, as well as their projections of the royalties at issue in the dispute.
The King of Prussia, Pa., technology company said Tuesday that Nokia has requested binding arbitration over InterDigital's royalty claims, and said the cell-phone company indicated it will go to court to seek certain documents from InterDigital. Nokia said Tuesday it doesn't discuss pending litigation.
InterDigital shares closed down nearly 25% Tuesday, and recently traded up 59 cents, or 3.3%, to $18.30, on volume of 6.2 million, compared with average daily volume of 1 million shares. InterDigital contends the financial terms of royalties due from Nokia for the sale of certain products starting in January 2002 were determined by patent license agreements that an InterDigital subsidiary signed with L.M. Ericsson Telephone Co. (ERICY) and spinoff Sony Ericsson.
Nokia has asked the International Court of Arbitration of the International Chamber of Commerce to determine that it has no royalty obligations to the InterDigital subsidiary based on the Ericsson and Sony Ericsson licenses, according to InterDigital.
InterDigital, however, contends that the 1992 patent agreement with Nokia established that a license deal like the one struck with Ericsson would determine Nokia's obligations.
Since reaching the Ericsson accord, InterDigital has been in royalty talks with Nokia and Samsung Electronics Co., which it has estimated could owe $180 million to $220 million combined for 2003 and 2004.
While the Nokia and Samsung royalty obligations to InterDigital are linked, and the Nokia arbitration could influence Samsung's position, Samsung could resolve matters with InterDigital independently, according to William Merritt, president of InterDigital subsidiary InterDigital Technology.
Merritt sought to assure investors that arbitration will bring discipline and time limits to InterDigital's negotiations with Nokia, and represents the next stage in the companies' talks. Arbitration was included as part of a negotiation process spelled out in the 1999 patent agreement with Nokia, Merritt said.
InterDigital estimates it will take about 12 months to complete the arbitration process, based on previous experience, although the matter could be resolved sooner, a spokeswoman said after the call. Nokia filed its arbitration request on July 18, starting the clock on the process, she said.
InterDigital operating chief Charles "Rip" Tilden said the Nokia matter is important but "only part of our business," and that a growing list of licensees are paying royalties to the company.
"Keep in mind that InterDigital is in very good shape" as a wireless technology developer, Tilden said.
The company had revenue of less than $88 million last year.
-By Dinah Wisenberg Brin, Dow Jones Newswires; 215-656-8285; dinah.brin@dowjones.com

(END) Dow Jones Newswires
07-23-03 1546ET

DJ Table of Unusual Nasdaq Stock Moves From Hottrend
HOTTREND LIST OF MOST ABNORMALLY TRADED STOCKS DATE: 07/23/03 COUNTRY: US EXCHANGE: Nasdaq TIME PERIOD:9:30 - 3:30 LAST CHANGE %CHANGE RANK COMPANY NAME TICKER PRICE ON DAY ON DAY 1 NBTY Inc NBTY 24.46 3.19 15.00 2 Interdigital Commu IDCC 18.36 .65 3.67 3 Westell Technologi WSTL 7.08 -3.81 -34.99 4 TLC Vision TLCV 5.91 1.20 25.48 5 Qiao Xing Universa XINGE 5.97 -3.78 -38.77 6 ValueClick Inc VCLK 7.47 1.12 17.64 7 McLeodUSA Inc'A' MCLD 1.15 -.47 -29.01 8 Career Education CECO 82.00 9.02 12.36 9 Cyberonics Inc CYBX 26.85 3.90 16.99 10 Sun Microsystems SUNW 3.80 -.97 -20.34 11 Silicon Image SIMG 5.01 -1.36 -21.35 12 Patterson-UTI Ener PTEN 28.68 -.02 -.07 13 Chordiant Software CHRD 2.41 .36 17.56 14 Xybernaut Corp XYBR .74 .05 7.83 15 Finisar Corp FNSR 1.90 -.04 -2.16 LAST UPDATE FOR TODAY HOTTREND is a real-time service that measures unusual movements in stocks relative to their prior trading history. Each stock has a constantly updated profile based on measures like price change, volume, money flow and others. A stock becomes "abnormal" when it deviates from that profile. News about the stocks in the table can be found under the stocks' ticker symbols. Hottrend is accessible exclusively through the RealTick data display and trading platform and can be used for a variety of applications. For more information, please contact Hottrend at 212-679-9000 or via e-mail at information@hottrend.com. RealTick(R) and Hottrend(R) are registered trademarks of Townsend Analytics, Ltd.
(END) Dow Jones Newswires
07-23-03 1538ET

1:18 (Dow Jones) InterDigital Communications (IDCC) should ultimately succeed in finalizing a royalty rate with Nokia (NOK) in the next six to 12 months, Hilliard Lyons says. Nokia's move to enter arbitration may delay resolution but will provide a definitive answer on the royalty rate and back payments, the firm says. Nokia apparently agrees it has an obligation to InterDigital, but disputes that InterDigital's recent license agreements with Ericsson and Sony Ericsson should establish the royalty rate, says Hilliard, which recommends buying on the weakness. IDCC up 4.2% to $18.45. (DWB)

*DJ InterDigital: Nokia Disagrees On Basis For Royalties

(MORE) Dow Jones Newswires
07-23-03 1420ET

*DJ InterDigital: Nokia Doesn't Dispute It Has An Obligation

(MORE) Dow Jones Newswires
07-23-03 1417ET

*DJ InterDigital Exec: Co In 'Very Good Shape' Overall

(MORE) Dow Jones Newswires
07-23-03 1413ET

DJ MARKET TALK: Nokia, InterDigital Will Work It Out
Edited by Thomas Granahan Of DOW JONES NEWSWIRES (Call: 201-938-5299; email: tom.granahan@dowjones.com) MARKET TALK can be found using N/DJMT
1:18 (Dow Jones) InterDigital Communications (IDCC) should ultimately succeed in finalizing a royalty rate with Nokia (NOK) in the next six to 12 months, Hilliard Lyons says. Nokia's move to enter arbitration may delay resolution but will provide a definitive answer on the royalty rate and back payments, the firm says. Nokia apparently agrees it has an obligation to InterDigital, but disputes that InterDigital's recent license agreements with Ericsson and Sony Ericsson should establish the royalty rate, says Hilliard, which recommends buying on the weakness. IDCC up 4.2% to $18.45. (DWB)
1:03 (Dow Jones) Looks like J.P. Morgan Chase (JPM) has made enough of a recovery - after a difficult few years - to put itself back in the hunt as a potential buyer. The House of Morgan filed to sell $20B in new securities, which could indicate it's ready to make a purchase, says analyst Richard Bove of Hoefer & Arnett. "When Citigroup registered a paltry $16B a few weeks ago, we concluded they were about to make a large acquisition - they did. They bought the Sears credit card portfolio," Bove noted. If he were to guess, he thinks JPM would buy an investment bank. Management, however, has indicated interest in merging with a large domestic bank, he adds. JPM off 0.5% at $34.78. (TAS)
12:50 (Dow Jones) With Dell's 2Q ending next week, Merrill analyst Steven Milunovich says the company should reach its targets for earnings of 24 cents a share and sales of $9.7 billion. The analyst, who expects Dell's PC unit shipments to come in up 27%, says the company could show a little upside if July is as strong as April. DELL off 0.4% at $33.06. (DLF)
12:38 (Dow Jones) After yesterday's results, Pru analyst John Tumazos upgrades Alcan (AL) to buy from hold and Inco (N) to hold from sell. Tumazos raises AL target to $38 from $32 and raises estimates due to business development efforts offsetting the adverse impacts of Canadian dollar strength. For N, his target goes to $22 from $15 and earnings estimates are also hiked, the analyst saying he expects nickel prices to remain high until 2006 and Inco appears to be playing the current market tightness well. AL shares up 3.7% at $32.45, N up 3.9% at $22.11. (NPB)
12:29 (Dow Jones) In the Q&A session, Fed's Bernanke says the higher bond yield so far hasn't threatened the recovery, but he calls the rise surprising. The Fed funds rate still retains potency, he says. (JSX)
12:22 (Dow Jones) International Paper (IP) and Weyerhaueser (WY) look set to join the club of paper makers hit by poor demand and pricing. Consensus sees IP 2Q EPS at 17 cents - less than half 2Q02's 35 cents - and WY 2Q EPS down to 26 cents vs. 39 cents. For sector behemoth IP, BMO Nesbitt Burns' Stephen Atkinson worries pulp, paper and packaging markets may be even worse in 3Q. At WY, another analyst says he's watching for a bottom-line boost from WY's 2002 Willamette takeover. IP reports before the bell Thursday and WY posts early Friday. (BGD)
12:07 (Dow Jones) To put it simply, Computer Sciences (CSC) shares are cheap, says Deutsche Bank analyst William Zinsmeister. He upgrades CSC to buy from hold "based largely on valuation." His price target is $44. The stock is up 2.8% to $38.12, having fallen 10% since hitting a 52-week high on June 19. But Zinsmeister thinks this slide could be reversed when CSC reports fiscal 1Q in August. New contract signings should be up solidly "and history suggests bookings move most of these stocks." Also, before today's move, CSC shares traded at a discount to rivals like Unisys (UIS) and Electronic Data (EDS). (PDL)
11:55 (Dow Jones) Of all the rumors around about the fate of TD Waterhouse, the discount brokerage arm of Toronto Dominion Bank (TD), Desjardins Securities says the latest is most credible. New York Post story says Waterhouse is to be merged with another major discount brokerage, with TD retaining major stake. Analyst Michael Goldberg says that makes more sense than an outright sale of Waterhouse. Valuation estimate also looks right, Goldberg says, with Waterhouse's worth pegged at US$1.5-$2 billion. But little of that's reflected in TD's stock price now, he says. TD up 1.5% to $27.01. (MAG)
11:40 (Dow Jones) The MBA's refi index dropped 7.2% to 6181.2, its third straight week of decline. With 30-year fixed-rate mortgage up another 39 basis points and now almost 3/4% above the trough of 4.99% seen in mid-June, the best days of the refinancing index are over, barring any additional activity by the Fed, says Drew Matus, U.S. financial markets economist at Lehman Brothers. (JEH)
11:34 (Dow Jones) Veritas (VRTS) reports 2Q after market close and Lehman Brothers expects to see some upside from the storage software maker. Analyst Neil Herman expects EPS of 2c-3c above his 13c estimate and total revenue of $395M versus his $376M estimate. Upside would come from licenses, which he currently estimates at $233M. Herman advises buying Veritas shares, which have slumped 8% since July 14, ahead of the report. The stock was recently unchanged at $27.62. (MLP)
11:28 (Dow Jones) Fed Governor Bernanke says, "Fortunately, financial conditions in the U.S. today are sound, not fragile." This marks a difference from the deflationary environment in the 1930s and is a key reason why Bernanke and his colleagues are less worried. (JJM)
11:25 (Dow Jones) EarthLink's "mixed" 2Q report Tuesday, which missed revenue expectations but beat on the bottom line thanks to cost cuts, shows the Internet service provider is "generally trending in the right direction," says First Albany's Youssef Squali. He thinks dial-up losses will be stemmed by the company's budget-priced PeoplePC service and move to give its higher-speed acceleration function to premium users for free. The end to the Charter wholesale relationship, which will cut $16M off revenue annually, is only "a minor setback" given EarthLink's $1.4B run rate, he says. ELNK down 3.6% at $7.16. (RTR)
11:19 (Dow Jones) The DJIA must and will go to 24000! OK, that's about as good a promise as the one the bond market seems to have heard from the Fed's deflation guru. So, the Fed may keep rates low for a while, huh? Never would've guessed it. Treasurys get some help on this breaking news, while stocks meander through a lifeless session. If nothing else, stocks are building a base off which a potentially big move could come, either way. DJIA down 27, Nasdaq Comp off 4, S&P 500 eases 6. (TG)
11:06 (Dow Jones) Fed's Bernanke, in keenly-awaited inflation speech, says he expects Fed to keep rates low for a "considerable period" and adds the Fed must and will cut rates to zero if needed. (No different to Greenspan in this message). In prepared remarks, he also says he expects inflation to continue to fall - to 0.5% in the next couple of years - and thinks disinflation will linger even as the economy recovers. Bernanke, who has spoken several times in favor of Fed adopting inflation targets - said he thinks an implicit price goal would be the first unorthodox step from the Fed. (GMM)
10:59 (Dow Jones) Intuit (INTU) up 0.6% at $41.04 as UBS Warburg upgrades to buy from neutral and raises target to $52 from $49. The call is on valuation and the higher target doesn't come from increased estimates but a rolling forward of the valuation to 2004 numbers. "The risk/reward profile on INTU has significantly improved over the past month in our opinion, and we would be buyers at current levels." (NPB)

(END) Dow Jones Newswires
07-23-03 1317ET

PRESS RELEASE: InterDigital Sets Conf Call On Nokia Matter
KING OF PRUSSIA, Pa.--(BUSINESS WIRE)--July 23, 2003--InterDigital Communications Corporation (Nasdaq:IDCC), a leading architect, designer and provider of advanced wireless technologies and product platforms, announced today that it will host a conference call today, July 23, 2003 at 2:00 p.m. Eastern Daylight Time to discuss the recently announced arbitration proceedings with Nokia. For access to the conference call within the U.S. please dial (877) 505-0448 by 1:50 p.m. EDT and ask the operator for the InterDigital Conference Call. Participants calling from outside the U. S. should dial (706) 679-3165.
InterDigital also will provide live access to the call on its web site at: www.interdigital.com. The Company encourages participants to take advantage of the Internet option if possible. For the live Internet broadcast, click on the microphone icon next to "Live Web Cast" on the homepage and you will link to the web cast. In preparation for the web cast, InterDigital recommends that you complete the Pre-Event System Test.
In addition, a replay of the call will be available from 4:00 p.m. EDT July 23 through 5:00 p.m. EDT July 25, 2003. To access the recorded replay, dial (800) 642-1687. Participants calling from outside the U. S. should dial (706) 645-9291 to access the replay and use the confirmation code 1909001.
About InterDigital
InterDigital architects, designs and provides advanced wireless technologies and products that drive voice and data communications. The Company offers technology and product solutions for mainstream wireless applications that deliver cost and time-to-market advantages for its customers. InterDigital has a strong portfolio of patented technologies covering 2G, 2.5G and 3G standards, which it licenses worldwide. For more information, please visit InterDigital's web site: www.interdigital.com. InterDigital is a registered trademark of InterDigital Communications Corporation.
CONTACT: InterDigital Communications Corporation Media Contact: Dawn Goldstein, 610-878-7800 dawn.goldstein@interdigital.com or Investor Contact: Janet Point, 610-878-7800 janet.point@interdigital.com KEYWORD: PENNSYLVANIA INDUSTRY KEYWORD: TELECOMMUNICATIONS BANKING ADVISORY CONFERENCE CALLS SOURCE: InterDigital Communications Corporation Today's News On The Net - Business Wire's full file on the Internet with Hyperlinks to your home page. URL: http://www.businesswire.com
(END) Dow Jones Newswires
07-23-03 0923ET

InterDigital to Host Conference Call to Discuss Announcement of
Arbitration Proceedings with Nokia
KING OF PRUSSIA, Pa., Jul 23, 2003 (BUSINESS WIRE) -- InterDigital Communications Corporation (Nasdaq:IDCC), a leading architect, designer and provider of advanced wireless technologies and product platforms, announced today that it will host a conference call today, July 23, 2003 at 2:00 p.m. Eastern Daylight Time to discuss the recently announced arbitration proceedings with Nokia. For access to the conference call within the U.S. please dial (877) 505-0448 by 1:50 p.m. EDT and ask the operator for the InterDigital Conference Call. Participants calling from outside the U. S. should dial (706) 679-3165.
InterDigital also will provide live access to the call on its web site at: www.interdigital.com. The Company encourages participants to take advantage of the Internet option if possible. For the live Internet broadcast, click on the microphone icon next to "Live Web Cast" on the homepage and you will link to the web cast. In preparation for the web cast, InterDigital recommends that you complete the Pre-Event System Test.
In addition, a replay of the call will be available from 4:00 p.m. EDT July 23 through 5:00 p.m. EDT July 25, 2003. To access the recorded replay, dial (800) 642-1687. Participants calling from outside the U. S. should dial (706) 645-9291 to access the replay and use the confirmation code 1909001.
About InterDigital
InterDigital architects, designs and provides advanced wireless technologies and products that drive voice and data communications. The Company offers technology and product solutions for mainstream wireless applications that deliver cost and time-to-market advantages for its customers. InterDigital has a strong portfolio of patented technologies covering 2G, 2.5G and 3G standards, which it licenses worldwide. For more information, please visit InterDigital's web site: www.interdigital.com. InterDigital is a registered trademark of InterDigital Communications Corporation.
SOURCE: InterDigital Communications Corporation


CONTACT: InterDigital Communications Corporation Media Contact: Dawn Goldstein, 610-878-7800 dawn.goldstein@interdigital.com or Investor Contact: Janet Point, 610-878-7800 janet.point@interdigital.comURL: http://www.businesswire.comToday's News On The Net - Business Wire's full file on the Internetwith Hyperlinks to your home page.
Copyright (C) 2003 Business Wire. All rights reserved.
-0-
KEYWORD: PENNSYLVANIAINDUSTRY KEYWORD: TELECOMMUNICATIONS BANKING ADVISORY CONFERENCE CALLS

Subject: IDCC is "In Play"

Trade:
https://us.etrade.com/e/t/applogic/orderform?traxui=SA&Symbol=IDCC
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INTERDIGITAL COMMUNICATIONS CO (IDCC)
https://us.etrade.com/e/t/invest/quotesresearch?traxui=SA&sym=IDCC
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Gapping Up/Down: Pre-market movers of note include EK +8% (beats consensus), CECO +8% (beats consensus, announces split, JP Morgan upgrade), AMZN +7% (beats consensus, CSFB upgrade), CYBX +11% (favorable depression study results), LCAV +23% (beats consensus, ups guidanc

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PRESS RELEASE: NEC America Releases High Definition Mobile Handset
TOKYO & NEW YORK & IRVING, Texas--(BUSINESS WIRE)--July 23, 2003-- Launch Of The 515 HDM In North America Is A Key Part Of NEC Corporation's Plans To Significantly Expand Overseas Mobile Phone Business
NEC Corporation (NEC) (NASDAQ:NIPNY) today announced, through its subsidiary NEC America, Inc. (NECAM), a leading provider of innovative communications products, solutions and services, the launch of its 515 High Definition Mobile+ (HDM) handset to be sold through AT&T Wireless retail outlets. This exclusive relationship offers the benefit of AT&T Wireless' powerful network combined with NEC's global experience in handset development and manufacturing. Available to U.S. consumers on July 28, the 515 HDM will serve as a premiere gaming handset delivering both enhanced game play capabilities and multimedia messaging.
The NEC America-AT&T Wireless arrangement is a natural extension of NEC's strong relationship with NTT DoCoMo, Inc., a key shareholder of AT&T Wireless. Building on NEC's use of NTT DoCoMo's advanced i-mode(TM) mobile internet technologies in Japan and Europe, NEC America in conjunction with AT&T Wireless will provide U.S. consumers with innovative technologies.
"With the recent advancements in display clarity, sound quality and multimedia applications, we have now entered a new era of 'High Definition Mobile' technology," said Noboru Sakata, General Manager of the Wireless Engineering Division at NEC America, Inc. "The 515 HDM combines many sought after applications and features, such as the simultaneous key press that allows game players to shoot and move at the same time, integrated polyphonic sound, and in-game vibration feedback."
"With the addition of NEC America's 515 High Definition Mobile+ phone to our line of mMode phones, AT&T Wireless customers will have access to an exciting and entertaining mobile experience," said Phil Osman, Executive Vice President-Mobile Multimedia Services for AT&T Wireless. "By offering a Java-enabled handset featuring a brilliant color display and polyphonic ringer, our customers can really enjoy the ultimate in wireless game play."
Worldwide Mobile Strategy
The launch of the 515 HDM in North America is a key part of NEC Corporation's plans to significantly expand its overseas mobile phone business within the fiscal year ending March 2004. NEC plans to introduce approximately 20 new handsets for international markets, utilizing the company's most advanced, Japanese market-proven technologies.
"As the Japanese mobile phone market approaches maturity, NEC expects to secure profitability through expanding in the promising overseas market, based on its experience and expertise as Japan's top mobile phone supplier," said Yoshiharu Tamura, general manager of the Mobile Terminal Division at NEC Corporation. "NEC aims to become a leading manufacturer of mobile Internet handsets with a 15% market share, revenue of one trillion yen and overseas handset sales comprising 50% of its total mobile phone sales in 2005."
NEC began delivering next-generation GSM/GPRS handsets to non-Japanese markets during the last fiscal year. NEC has so far supplied these high-end handsets to carriers such as KPN Group, covering the Netherlands, Germany and Belgium, Bouygues Telecom of France, Telefonica Mobiles Espana, Telecom Italia Mobile, and China Mobile. In addition, NEC has provided UMTS handsets to Hutchison Wampoa Group, the first mobile operator outside Japan to commercially offer 3G services based on W-CDMA technology.
Lightning Fast Mobile Gaming
The first of NEC's 500-series of HDM mobile phones, the 515 HDM - through its compact, stylish, clamshell form factor -- delivers GSM global connectivity by combining voice and data with interactive, feature-rich functionality in a GSM/GPRS quad-band environment. Equipped with an oversized 2.2 inch, 65,536-color display, 40-note polyphonic ring tunes and advanced technologies such as DoJA(TM), a version of Java(TM), created specifically for the mobile environment in a partnership between NTT DoCoMo, Inc. (NTT DoCoMo) and Sun Microsystems, the 515 HDM offers an impressive gaming interface, as well as a high performing mobile enterprise computing experience. In addition, the handset features a second, dedicated applications processor to enable lightning-fast mobile game play, without overriding or impacting incoming calls.
"NEC has a long history of innovation and technological advancement, and we continue that tradition today with the introduction of the 515 HDM phone," said Sakata. "We have placed a strong emphasis on customization with the 515 HDM. Consumers will be able to make each phone their own by downloading content from NEC's content portal or via AT&T Wireless' m-mode."
Through NEC's specialized content portal, www.NECHDM.com, 515 HDM users can download 16-bit stand-by wallpapers, 40-note polyphonic ring tunes, and Java(TM) games. Plus, they can resize personal picture files and send them to their handset for use as stand-by wallpapers or picture caller-id for even greater customization. Users can also create seven different call groups by assigning one of seven vibrant LED colors to incoming callers.
Strategic Alliances
Further, over the past two years, NEC has been building strategic alliances with key value-chain players from Java(TM) content providers to enterprise-focused wireless application solution providers, to differentiate NEC handset products. In addition to the AT&T Wireless relationship, NEC has worked with Yamaha to heighten the ring tune quality of the 515 HDM. Enhanced with a Yamaha 40-note polyphonic ring tune chip, the 515 HDM delivers excellent ring tunes features and exceptional ring tune quality.
NEC has also entered into an agreement with dwango(R) wireless, a developer and publisher of wireless applications and technology for next-generation mobile devices, to offer engaging, downloadable Java(TM) applications to 515 HDM users. Specifically, consumers will enjoy a pre-loaded demo version of dwango Star Diversion(TM) - a top down vertical shooting game - that is offered exclusively to 515 HDM purchasers the first six months the handset is available. To find out more about dwango wireless, please visit www.dwango.com.
For the enterprise user, NEC approached Vuico, LLC, a worldwide leader in mobility solutions, to provide advanced wireless solutions to enterprise market. Vuico's GoWireless(TM) Mobile Messaging, available for the NEC 515 HDM, offers a cost-effective solution for providing secure, real-time access to corporate information by extending the power of Microsoft(R) Exchange(TM), Lotus Domino(TM), and POP3 messaging environments to the mobile professional.
The 515 HDM will be in AT&T Wireless retail stores starting July 28, 2003. Upon its introduction, the phone will come pre-loaded with Java(TM) games, including baseball and Star Diversion(TM).

Editors Note: For additional information on the NEC 515 HDM, please visit www.NECHDM.com.

+HDM (High Definition Mobile) is not meant to imply compliance with any HDTV (High Definition Television) or similar high definition standards.

i-mode, the i-mode logo, and DoJA are trademarks of NTT DoCoMo, Inc. in Japan and other countries. Java is a trademark of Sun Microsystems, Inc. Java is a trademark of Sun Microsystems, Inc.
About NEC America, Inc.
NEC America, Inc., headquartered in Irving, Texas, is a leading provider of innovative communications products, solutions, and services. NEC America serves all communications industries from carriers, to enterprise, to wireless and is an affiliate of NEC Corporation (NASDAQ: NIPNY), a Global Fortune 500(R) company and one of the leading patent producing enterprises in the world. For more information about NEC America, visit its website at http://www.necamerica.com.
About NEC Corporation
NEC Corporation (NASDAQ: NIPNY) (FTSE: 6701q.l) is one of the world's leading providers of Internet, broadband network and enterprise business solutions dedicated to meeting the specialized needs of its diverse and global base of customers. Ranked as one of the world's top patent-producing companies, NEC delivers tailored solutions in the key fields of computer, networking and electron devices, by integrating its technical strengths in IT and Networks, and by providing advanced semiconductor solutions through NEC Electronics Corporation. The NEC Group employs more than 140,000 people worldwide and had net sales of approximately $40 billion in the fiscal year ended March 2003. For additional information, please visit the NEC home page at: http://www.nec.com.
CONTACT: NEC America, Inc. Adrienne Campbell, 214-262-4127 acampbell@necam.com or NEC Corporation Akiko Shikimori, 81-3-3798-6511 a-shikimori@ay.jp.nec.com or NEC USA, Inc. Kazuko Andersen, 212-326-2502 kazuko.andersen@necusa.com or Ruder Finn Mimi Anderson, 212-593-5888 andersonm@ruderfinn.com KEYWORD: TEXAS NEW YORK JAPAN INTERNATIONAL ASIA PACIFIC INDUSTRY KEYWORD: TELECOMMUNICATIONS NETWORKING E-COMMERCE INTERNET PRODUCT SOURCE: NEC America, Inc. Today's News On The Net - Business Wire's full file on the Internet with Hyperlinks to your home page. URL: http://www.businesswire.com
(END) Dow Jones Newswires
07-23-03 0821ET

Infineon Sees Upturn Ahead Despite Widening Loss
Jul 23, 2003 (ComputerWire via COMTEX) -- Infineon Technologies AG has seen the first signs of a positive market trend in the last quarter and looks forward with optimism for a stronger improvement of demand in both its logic segments and memory products.
The bullish outlook from a company that claims to be the world's sixth largest chipmaker, was reinforced by CEO Ulrich Schumacher who told the Wall Street Journal: "We are aiming for profitability in the next quarter. Barring any negative outside influences, I think it's a goal we should be able to reach."
Infineon has been mired in losses selling memory at less than the cost of production and its latest figures reflect a depressed market.
In the third quarter to June 30, the net loss was 116m euros ($131.6m), up from a loss of 76m euros ($86.2m) on revenue 11.4% higher at 1.47bn euros ($1.67bn. For the nine months, the loss was 484m euros ($549.1m), down from a loss of 515m euros ($584.3m) on revenue that increased 21.9% to 4.39bn ($4.98bn).
Sales are not a problem for the Munich, Germany company. In its latest quarter, wireline communications product showed 17% growth, mobile communications rose 18%, the automotive and industrial sector increased 14% and even memory products managed a 4% increase.
Sequentially however, memory product sales have fallen back 7% but Infineon said it has seen continuing growing demand and steadily increasing prices since the beginning of June.
ComputerWire News: Issue 4717, July 23, 2003
(C) Copyright 2003 ComputerWire.Not to be reproduced in whole or in part without written permission.
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Ericsson Licenses Hop-On Under GSM and GPRS Standards
IRVINE, Calif., Jul 23, 2003 /PRNewswire-FirstCall via COMTEX/ -- Hop-On (OTC: HPON), the leading developer of disposable and recyclable cell phones, and Telefonaktiebolaget LM Ericsson today announced a royalty bearing, non-exclusive license agreement under Ericsson's GSM and GPRS patent portfolio to develop, manufacture, have made and sell wireless handset devices in accordance with the standards applicable to GSM and GPRS technologies. Hop-On will pay Ericsson running royalties for the use of Ericsson GSM/GPRS patents.
About Hop-On
Hop-On (OTC: HPON) is the developer and marketer of the world's first disposable, recyclable and contract free cell phone. The Federal Communications Commission (FCC) approved Hop-On for the world's first CDMA disposable cell phone. Hop-On's CDMA phone is a digital, single mode cellular handset that operates in the 800 MHz frequency band. Hop-On's CDMA phones, which provide a much-needed alternative to full service cellular contracts and prepaid calling cards, are recyclable, include a rechargeable battery and the capability to add on additional minutes. Hop-On is also marketing a GSM phone, which expands its product offerings for applications in various other global markets. For more information, visit http://www.hop-on.com.


CONTACTS: David Pasquale, 646-536-7006, or Jim Olecki, 646-536-7021 Both of The Ruth Group, http://www.TheRuthGroup.com
This Company's news release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements relate to, among other things, software functionality and capacity, timing of the commencement of operations and cash flow, and are indicated by words or phrases such as "anticipate," "estimate," "plans" and similar words or phrases. The following are among the principal factors that could cause actual results to differ materially from the forward-looking statements: general business and economic conditions in the Company's operations, including the rate of inflation, population, employment and job growth rate, the pricing pressures and other competitive factors and issues arising from year 2000 information technology issues. Consequently actual events and results may vary significantly from those included in or contemplated or implied by such statements.
SOURCE Hop-On


CONTACT: David Pasquale, +1-646-536-7006, or Jim Olecki, +1-646-536-7021, both of The Ruth Group, both for Hop-On /Web sites: http://www.hop-on.com (HPON)http://www.prnewswire.com
Copyright (C) 2003 PR Newswire. All rights reserved.
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KEYWORD: CaliforniaINDUSTRY KEYWORD: TLS ADVSUBJECT CODE: LIC

AT&T Wireless Selects Nortel Networks and Ericsson to Deploy W-CDMA
Networks
REDMOND, Wash., Jul 23, 2003 (BUSINESS WIRE) -- AT&T Wireless (NYSE: AWE) today announced agreements with Nortel Networks(*) (NYSE/TSX: NT) and Ericsson (Nasdaq: ERICY) to deploy what is expected to be the first commercial W-CDMA (Wideband Code Division Multiple band Access) wireless network in North America. The W-CDMA network can support high speed VPN access, audio and video applications, as well as advanced location-based and m-Commerce features.
In December 2002, AT&T Wireless and DoCoMo announced an agreement to work together to launch four U.S. markets using W-CDMA by the end of 2004. The announced 3G build and commercial launch of service in these markets will complement AT&T Wireless' national high speed EDGE network (Enhanced Data rates for GSM Evolution).
"These agreements position us to meet our DoCoMo commitments on time and on budget," said Eric Updyke, Vice President - 3G Program Management. "Our deployment of W-CDMA service will complement our nationwide EDGE deployment, further differentiating AT&T Wireless as the industry leader in bringing a new generation of mobile multimedia services to customers.
"Today's announcement represents a significant milestone in our drive to deploy W-CDMA in four markets by the end of 2004," said Updyke. "The selection of two proven network providers adds flexibility and horsepower to the project, and brings a tremendous amount of intellectual capital to bear against our goal. The combined strength of Ericsson, Nortel Networks, and AT&T Wireless represents a powerful combination that we're confident will achieve our goals."
The W-CDMA networks will allow AT&T Wireless to significantly increase subscriber capacity, reduce networking costs and increase data speeds required for delivering wireless broadband 3G services to consumers and enterprise customers.
"Nortel Networks applauds AT&T Wireless for its leadership in the move to a new level of service and capabilities for the wireless industry," said Pascal Debon, president, Wireless Networks, Nortel Networks. "We look forward to building on our success in delivering next generation wireless services with AT&T Wireless, first through the deployment of a high-speed packet core network, and now through this milestone deployment of W-CDMA radio access."
"Since Ericsson and AT&T Wireless deployed the world's first 1900 MHz UMTS demo system in Dallas last December, we have learned a lot about what it will take to deliver commercial grade third-generation services in the United States," said Toby Seay, Executive Vice President and General Manager for Ericsson Inc.'s AT&T Wireless customer team. "We now look forward to applying that knowledge together to help AT&T Wireless provide its customers true 3G services on schedule."
The W-CDMA radio equipment will operate on the 1900 MHz spectrum and use the same core equipment AT&T Wireless currently employs to support advanced voice and data services through GPRS and EDGE radio technologies. The deployments will also support an all IP-based network architecture, significantly streamlining network functions.
About AT&T Wireless
AT&T Wireless (NYSE: AWE) is the second-largest wireless carrier, based on revenues, in the United States. With 21.1 million subscribers as of March 31, 2003, and revenues of nearly $16.0 billion over the past four quarters. AT&T Wireless delivers advanced high-quality mobile wireless communications services, voice and data, to businesses and consumers, in the U.S. and internationally. For more information, please visit us at www.attwireless.com.
About Nortel Networks
Nortel Networks is an industry leader and innovator focused on transforming how the world communicates and exchanges information. The Company is supplying its service provider and enterprise customers with communications technology and infrastructure to enable value-added IP data, voice and multimedia services spanning Wireless Networks, Wireline Networks, Enterprise Networks, and Optical Networks. As a global Company, Nortel Networks does business in more than 150 countries. More information about Nortel Networks can be found on the Web at www.nortelnetworks.com.
About Ericsson
Ericsson is shaping the future of Mobile and Broadband Internet communications through its continuous technology leadership. Providing innovative solutions in more than 140 countries, Ericsson is helping to create the most powerful communication companies in the world. Read more at www.ericsson.com/press.
Certain information included in this press release is forward-looking and is subject to important risks and uncertainties. The results or events predicted in these statements may differ materially from actual results or events. Factors which could cause results or events to differ from current expectations include, among other things: the severity and duration of the industry adjustment; the sufficiency of our restructuring activities, including the potential for higher actual costs to be incurred in connection with restructuring actions compared to the estimated costs of such actions; fluctuations in operating results and general industry, economic and market conditions and growth rates; the ability to recruit and retain qualified employees; fluctuations in cash flow, the level of outstanding debt and debt ratings; the ability to meet financial covenants contained in our credit agreements; the ability to make acquisitions and/or integrate the operations and technologies of acquired businesses in an effective manner; the impact of rapid technological and market change; the impact of price and product competition; international growth and global economic conditions, particularly in emerging markets and including interest rate and currency exchange rate fluctuations; the impact of rationalization in the telecommunications industry; the dependence on new product development; the uncertainties of the Internet; the impact of the credit risks of our customers and the impact of customer financing and commitments; stock market volatility; the entrance into an increased number of supply and outsourcing contracts which contain delivery and installation provisions, which, if not met, could result in the payment of substantial penalties or liquidated damages; the ability to obtain timely, adequate and reasonably priced component parts from suppliers and internal manufacturing capacity; the future success of our strategic alliances; and the adverse resolution of litigation. For additional information with respect to certain of these and other factors, see the reports filed by Nortel Networks with the United States Securities and Exchange Commission. Unless otherwise required by applicable securities laws, Nortel Networks disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
(*)Nortel Networks, the Nortel Networks logo, the Globemark and Univity are trademarks of Nortel Networks.
SOURCE: AT&T Wireless


CONTACT: AT&T Wireless Ritch Blasi, 908-696-4242 ritch.blasi@attws.com or Nortel Networks Jay Barta, 972-685-2381 jbarta@nortelnetworks.com or Ericsson Inc. Kathy Egan, 212-685-4030 pressrelations@ericsson.comURL: http://www.businesswire.comToday's News On The Net - Business Wire's full file on the Internetwith Hyperlinks to your home page.
Copyright (C) 2003 Business Wire. All rights reserved.
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KEYWORD: WASHINGTON NEW YORK NEW JERSEYINDUSTRY KEYWORD: TELECOMMUNICATIONS NETWORKING MARKETING AGREEMENTS

United States - T-Mobile gets EDGE
Jul 22, 2003 (Tarifica Alert/PBI Media via COMTEX) -- Mobile operator T-Mobile USA and equipment provider Ericsson have agreed to expand the operator's mobile network with EDGE (Enhanced Data Rates for GSM Evolution) services. Under the terms of the contract, which is worth US$ 500 million, Ericsson will deploy the new networks in the State of Western Virginia as well as in areas of New England, and upgrade the operator's mobile infrastructure in 18 markets.
[Copyright 2003 PBI Media, LLC. All rights reserved.]
Tarifica Alert, Vol. , No. 314 [Copyright 2003 PBI Media, LLC. All rights reserved.]
Copyright 2003 PBI Media, LLC. All rights reserved.
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=DJ InterDigital Down -2: Dispute Over Royalty Payments >IDCC
By Dinah Wisenberg Brin of DOW JONES NEWSWIRES
PHILADELPHIA (Dow Jones)--InterDigital Communications Corp. (IDCC) was down nearly 25% at the close Tuesday after announcing that cellphone giant Nokia Corp. (NOK) is resisting the wireless technology company's claims to key royalty payments.
Nokia has requested binding arbitration regarding the disputed royalty matter and has indicated it will go to court to seek certain documents, InterDigital said in a release issued late in the trading session.
Nokia had no comment as the company doesn't discuss pending litigation, according to a spokesman, Steven Knuff.
InterDigital contends the financial terms of royalties due from Nokia for the sale of certain products starting in January 2002 were determined by patent license agreements that an InterDigital subsidiary signed with cellphone company L.M. Ericsson Telephony Co. (ERICY) and spinoff Sony Ericsson in March.
Nokia has asked the International Court of Arbitration of the International Chamber of Commerce to determine that it has no royalty obligations to the InterDigital subsidiary based on the Ericsson and Sony Ericsson licenses, InterDigital said.
Nokia alternatively seeks an order requiring InterDigital to provide various documents related to previous litigation, negotiations and arbitration with other parties, and pending access to those documents is seeking to prevent the start of arbitration proceedings that would determine royalty payments for the period in question, InterDigital said.
InterDigital's subsidiary has 30 days to respond to the arbitration request and plans to file a counterclaim seeking a determination and award of royalties from Nokia.
Nokia also has indicated that it plans to file a federal court action to gain access to previously sealed court documents related to now-settled InterDigital litigation with Ericsson, according to InterDigital.
"We believe that we have fully satisfied our contractual obligations and remain confident in our position, including our prior projections as to the amount of royalties owed and to be paid. We are fully prepared to move forward to arbitration," William J. Merritt, president of the InterDigital subsidiary, said in the release.
InterDigital has estimated that based on the license agreements it signed with Ericsson and Sony Ericsson, Nokia and Samsung Electronics Co. would owe its subsidiary $180 million to $220 million combined for 2003 and 2004, with further payments from those two companies due for another two years.
The company had revenue of less than $88 million last year and the anticipated licensing agreements with Nokia and Samsung are seen as key to its growth.
InterDigital shares closed down $5.83, or 24.8%, to $17.71, on volume of more than 4.8 million, compared with average daily volume of roughly 957,000 shares.
-By Dinah Wisenberg Brin, Dow Jones Newswires
215-656-8285; dinah.brin@dowjones.com

(END) Dow Jones Newswires
07-22-03 1840ET

8-K: INTERDIGITAL COMMUNICATIONS CORP
(EDGAR Online via COMTEX) --
UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549 --------------
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934
DATE OF REPORT (Date of earliest event reported): July 18, 2003


InterDigital Communications Corporation (Exact name of registrant as specified in its charter)
Pennsylvania 1-11152 23-1882087 (State or other jurisdiction (Commission File (IRS Employer of incorporation) Number) Identification No.)


781 Third Avenue, King of Prussia, PA 19406-1409 (Address of Principal Executive Offices) (Zip Code)
Registrant's telephone number, including area code: 610-878-7800
Item 5. Other Events.
On July 22, 2003 the Company issued a press release, attached hereto as Exhibit 99.1, announcing the commencement of arbitration proceedings with Nokia Corporation.
Item 7. Financial Statements, Pro Forma Financial Information and Exhibits
(c) Exhibits
99.1 Press release dated July 22, 2003
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.


INTERDIGITAL COMMUNICATIONS CORPORATION
By: Lawrence F. Shay ------------------------------------------ Lawrence F. Shay Vice-President and General Counsel
Dated: July 22, 2003


EXHIBIT INDEX
Exhibit No. Description------------ -----------
99.1 Press release dated July 22, 2003


Exhibit 99.1
InterDigital and Nokia Enter Arbitration
KING OF PRUSSIA, Pa.--(BUSINESS WIRE)--July 22, 2003--InterDigital Communications Corporation (Nasdaq: IDCC), a leading architect, designer and provider of wireless technology and product platforms, today announced that Nokia Corporation (Nokia) has requested binding arbitration regarding Nokia's royalty payment obligations for its worldwide sales of 2G GSM/TDMA (2G) and 2.5G GSM/GPRS/TDMA (2.5G) products under the existing patent license agreement with InterDigital Technology Corporation (ITC), a wholly-owned subsidiary of InterDigital Communications Corporation. Pursuant to the dispute resolution provisions of the patent license agreement, Nokia's request for arbitration was filed in the International Court of Arbitration of the International Chamber of Commerce (ICC). Nokia's arbitration request relates to ITC's claim that the patent license agreements ITC signed with Ericsson and Sony Ericsson in March 2003 defined the financial terms under which Nokia would be required to pay royalties on its worldwide sale of 2G and 2.5G products commencing January 1, 2002. Nokia is seeking a determination that it has no royalty obligations to ITC based upon ITC's licensing of Ericsson and Sony Ericsson. Alternatively, Nokia is seeking an order requiring ITC to provide Nokia with access to various documents related to previous litigations, negotiations, and arbitrations with other parties. Pending access to the requested documents, Nokia is seeking to prevent the commencement of arbitration proceedings that would determine royalty amounts owed to ITC for the period starting January 1, 2002. ITC has thirty days to respond to Nokia's request for arbitration. As part of ITC's response, ITC intends to file a counterclaim seeking a determination of and award for royalties owed to ITC by Nokia. Separately, Nokia has indicated that it intends to file an action in Federal Court to gain access to documents previously sealed by the Court related to the now-settled Ericsson litigation. "Resolving royalty issues with Nokia remains a top priority," said William J. Merritt, Executive Vice President, General Patent Counsel and President of ITC. "We believe that we have fully satisfied our contractual obligations and remain confident in our position, including our prior projections as to the amount of royalties owed and to be paid. We are fully prepared to move forward to arbitration."
About InterDigital
InterDigital architects, designs and provides advanced wireless technologies and products that drive voice and data communications. The Company offers technology and product solutions for mainstream wireless applications that deliver cost and time-to-market advantages for its customers. InterDigital has a strong portfolio of patented technologies covering 2G, 2.5G and 3G standards, which it licenses worldwide. For more information, please visit InterDigital's web site: www.interdigital.com. InterDigital is a registered trademark of InterDigital Communications Corporation.
This press release contains forward-looking statements reflecting the Company's beliefs, plans, and expectations as to royalties owed and to be paid by Nokia and the Company's intentions with respect to Nokia's request for arbitration. Words such as "believe", "intend", "projections" and similar expressions are intended to identify such forward-looking statements. Forward-looking statements are subject to risks and uncertainties and actual outcomes could differ materially from those expressed in any such forward-looking statements due to a variety of factors including, but not limited to: (i) resolution of the dispute as to the applicability of the terms of the Ericsson and Sony Ericsson licensing agreements to the royalty obligations of Nokia under its license agreement in a manner other than the manner anticipated by the Company; (ii) results from the dispute resolution process which could cause changes in the anticipated amounts owed and/or paid; (iii) any future legal proceedings that could adversely affect the royalty obligations or payments under Nokia's license agreement; (iv) the impact of prepayment discounts or lack thereof and the accuracy of estimates by Nokia related thereto; (v) the actual number and selling price of covered terminal units sold by Nokia; (vi) any actual deviation from the assumptions made by the Company, including those related to product mix, sales prices, and market share of Nokia; and (vii) as well as other factors listed in the Company's most recently filed 10-K. InterDigital undertakes no duty to publicly update any forward-looking statements, whether as a result of new information, future events or otherwise.


CONTACT: InterDigital Communications Corporation Media Contact: Dawn Goldstein, 610-878-7800 dawn.goldstein@interdigital.com or InterDigital Communications Corporation Investor Contact: Janet Point, 610-878-7800 janet.point@interdigital.com


(c) 1995-2003 Cybernet Data Systems, Inc. All Rights Reserved
Received by Edgar Online Jul 18, 2003
CIK Code: 0000354913Accession Number: 0001157523-03-003132
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