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QUALCOMM Sues Broadcom for Misappropriation of Trade Secrets and Patent Infringement
Wednesday March 29, 7:30 am ET
http://biz.yahoo.com/prnews/060329/law041.html?.v=84
SAN DIEGO, March 29 /PRNewswire-FirstCall/ -- QUALCOMM Incorporated (Nasdaq: QCOM - News), a leading developer and innovator of Code Division Multiple Access (CDMA) and other advanced wireless technologies, today announced that it has filed a new complaint against Broadcom Corporation for trade secret misappropriation and patent infringement. The complaint, filed in federal court in San Diego, charges Broadcom with misappropriating trade secrets relating to QUALCOMM's development and marketing of WCDMA baseband integrated circuit products and the multimedia capabilities of such products. It alleges that Broadcom has used the misappropriated trade secrets to compete unfairly with QUALCOMM for the sale of WCDMA chipsets. The complaint also accuses Broadcom of infringing QUALCOMM's U.S. Patent number 6,717,908 through its manufacture and sale of WCDMA and wireless local area network chipsets. The complaint seeks an injunction prohibiting Broadcom's continued use of QUALCOMM's intellectual property and monetary damages.
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The new lawsuit is the third intellectual property infringement case brought by QUALCOMM against Broadcom. San Diego is the venue of the other two cases as well. To date, QUALCOMM has asserted infringement by Broadcom of ten QUALCOMM patents. The first trial is scheduled to occur in January 2007.
QUALCOMM Incorporated (www.qualcomm.com) is a leader in developing and delivering innovative digital wireless communications products and services based on CDMA and other advanced technologies. Headquartered in San Diego, Calif., QUALCOMM is included in the S&P 500 Index and is a 2005 FORTUNE 500® company traded on The Nasdaq Stock Market® under the ticker symbol QCOM.
QUALCOMM is a registered trademark of QUALCOMM Incorporated. All other trademarks are the property of their respective owners.
QUALCOMM Contacts:
Jeremy James, Corporate Communications
Phone: 1-858-651-1641
Email: corpcomm@qualcomm.com
Bill Davidson, Investor Relations
Phone: 1-858-658-4813
Email: ir@qualcomm.com
--------------------------------------------------------------------------------
Source: QUALCOMM Incorporated
The Number of Subscribers to FLASH-OFDM is Predicted to be over 13 Million by 2010
Friday March 24, 12:10 pm ET
http://biz.yahoo.com/bw/060324/20060324005025.html?.v=1
DUBLIN, Ireland--(BUSINESS WIRE)--March 24, 2006--Research and Markets (http://www.researchandmarkets.com/reports/c31864) has announced the addition of Emerging Wireless 2006 to their offering.
The recent certification of commercial WiMAX gear represents a major milestone for the 802.16 industry but competition looms from existing and evolving IP based wireless technologies. Alternatives to WiMAX such as FLASH-OFDM, UMTS-TDD and in some cases TD-SCDMA or HSDPA are being considered worldwide, according to the just published study, "Emerging Wireless 2006."
"Right now the competitive scenario suggests a fragmented market with diverse opportunities for vendors and operators alike," said report author Andy Fuertes. "WiMAX backers are expected to establish a healthy marketplace in the fixed marketplace and also within certain mobile segments, particularly in those nations deploying basic telecommunications infrastructure. Many opportunities still remain outside of WiMAX in both the fixed space and in the next generation of mobile networks. Some of these will bring more dollars to the table than we see WiMAX bringing in."
Shipments of WiMAX customer premise equipment is expected to reach 7.2 million units in 2010, according to the study, but these shipments will be dwarfed by TD-SCDMA shipments. The Chinese standard is expected to be up and running in networks by year-end 2006 and will serve 100 million subscribers in China by 2010, where the lion's share of TD-SCDMA subscribers will reside.
Also according to the study, FLASH-OFDM subscribers are expected to exceed 13 million in 2010 while UMTS FDD radio shipments are projected to be valued at $2 billion that year.
"Emerging Wireless 2006" examines opportunities presented by recent and forthcoming wireless platforms, including next generation IP-based wireless technologies, TD-SCDMA and HSDPA. It also looks the criteria and various definitions of next generation networks(NGN) and fourth generation wireless (4G). Fixed and mobile markets are considered and assessed.
Analysis is provided for 802.16, 802.20, HSDPA and subsequent UMTS releases, UMTS TDD, TD-SCDMA, proprietary broadband wireless technologies and FLASH-OFDM. Developments in Japan are also monitored and the future role of technologies such as intelligent antennas, OFDM, software defined radio, and mesh networking is assessed.
Subscribers, device shipments, and base station deployments are quantified and detailed and a comparative analysis of these technologies is provided.
Questions Addressed
What markets will TD-SCDMA find inside and outside of China
What timeline will technologies evolve by
Which applications must next generation platforms support
What criteria will determine success of next generation platforms
Is additional fragmentation inevitable in the wireless market
Which technology represents the best investment
How do new technologies compare
Will fixed and mobile systems converge
Can 802.16 impact the mobile space
Can HSDPA and future 3GPP releases hold off competitors
Will mobile technologies replace 802.16 for fixed applications
Quantifies
802.16 infrastructure, client devices, subscribers and revenues for each
802.20 infrastructure, client devices, subscribers and revenues for each
HSDPA infrastructure, clients devices, subscribers and revenues
UMTS TDD infrastructure, client devices, subscribers and revenues for each
Proprietary systems, infrastructure, client devices, subs and revenues for each
WCDMA subscribers, Infrastructure, device shipments and revenues for each
TD-SCDMA infrastructure, client devices, subscribers and revenues for each
Topics
Technologies - Applications - Regions - Vendors
Topics Covered
Executive Summary
Section Two
4G and Next Generation Networks
Background, Objectives and Rationale
Section Three
802.20 Standard
Section Four
802.16 / WiMAX
Section Five
Next Generation Networks
Proprietary and Otherwise
Section Six
UMTS HSDPA and Beyond (HSUPA, Super 3G)
Section Seven
UMTS TDD (TD-CDMA)
Section Eight
TD-SCDMA
Section Nine
NTT DoCoMo (Japan) 4G and NGN Efforts
Section Ten
NGN and 4G Technologies Components, Elements and Enablers
Forecasts and Figures
Companies Mentioned
ArrayComm, Inc.
Cetecom
Qualcomm
Navini Networks
DoCoMo (Japan)
Vodafone
For more information visit http://www.researchandmarkets.com/reports/c31864
Contact:
Research and Markets
Laura Wood
Fax: +353 1 4100 980
press@researchandmarkets.com
--------------------------------------------------------------------------------
Source: Research and Markets
A Big Push For The Small Screen
Putting broadcast TV on cell phones could make Qualcomm a media power
APRIL 3, 2006
INFORMATION TECHNOLOGY
http://www.businessweek.com/magazine/content/06_14/b3978074.htm?campaign_id=rss_magzn
Paul E. Jacobs is definitely not made from the TV executive mold. The 43-year-old CEO of Qualcomm Inc. has a PhD in electrical engineering and made his mark at the cell-phone chipmaker by writing software code to compress speech. But these days Jacobs is sure talking like a TV guy, chatting about 15-second commercials and consumers' viewing tastes with the gusto of a media mogul. "The cell phone is the TV of the future," he says. "And the future isn't that far off."
Real media moguls have no reason to worry -- yet. San Diego-based Qualcomm and its $5.7 billion-a-year collection of patents and licenses won't be taking on CBS anytime soon. But as every tech company from Apple Computer Inc. (AAPL ) to Google Inc. (GOOG ) maneuvers to make money by showcasing video, Jacobs is in a race to make the cell phone your TV on the go. Later in the year, Qualcomm plans to offer the cell-phone industry's first broadcast TV service. Called MediaFLO, it is expected to include 20 channels of near-TV-quality programs, 10 music channels, and the cell-phone equivalent of a TiVo (TIVO ) in your palm, with the ability to store programming in the memory of your phone to be played back later. "It's the ultimate in giving consumers TV when and where [they] want it, and that has become crucial," says Joseph Rizzo, U.S. tech-sector chief at PricewaterhouseCoopers. MediaFLO plans to sell the service to cell-phone providers for a cut of subscriptions, similar to the way TV programmers negotiate distribution on cable and satellite. (Its only deal so far is with Verizon Wireless.)
NEXT-GENERATION NETWORKS
The payoff could be huge. Within four years, as many as 26 million cell-phone users could be spending $3 billion a year on video subscription services, figures technology researcher IDC. With a potential market that vast, it's no surprise Qualcomm is facing growing competition. It's already in a race with phone services that offer their own versions of video on the go. What's more, a consortium that includes phonemaker Nokia (NOK ), chip giant Intel (INTC ), Microsoft (MSFT ), and Texas Instruments (TXW ) plans to offer a rival service, Modeo, later this year based on technology being tested in several European markets.
Making TV programming available on cell phones isn't a new notion, of course. But interest so far has been scant, in part because rather than actually broadcasting, current efforts involve downloading shows and sports from servers, forcing consumers to wait for pictures that can be fuzzy and intermittent. The leading service, MobiTV, has 500,000 subscribers who pay $9.99 a month to watch clips and programs from 20-odd channels, including Fox Sports, Discovery, and MSNBC. Qualcomm and the next generation of TV networks intend to make the picture better, deploying the same broadcast towers and discarded analog spectrums used by the broadcasters. The result: a TV-like experience, with sharper pictures and live video, all on a two-inch screen.
For Qualcomm, the MediaFLO network is a bold departure from its start in silicon and software. Three years ago, as TV companies were being pushed by the federal government to trade their analog spectrum for new digital signals, Qualcomm paid about $87 million for the nationwide rights to the slice of the UHF spectrum that had been reserved for channel 55. With plans to spend up to $800 million, Qualcomm devised compression technology to jam channels into that spectrum. It is also providing 800 minutes of short programs stored in the memory of cell phones that can be replayed later. "We're very geeky around here, so we wanted to make this the very best we could," says Peggy L. Johnson, president of Qualcomm Internet Services.
But the competition is pushing ahead with technology, too. Modeo will use the existing broadcast towers owned by Crown Castle International, which controls more than 10,000 U.S. sites. Taking over spectrum once used by weather-balloon operators, Modeo has tested its service in Pittsburgh and plans an initial rollout in the top 30 U.S. markets, says Modeo President Michael Schueppert. Qualcomm says only that it will launch initially in half of Verizon's markets. Verizon declined to comment.
MediaFLO, a separate unit of Qualcomm, is becoming a sort of mini media company. It has hired TV producers from New York and Los Angeles to create original programming and has started talking to advertisers about "aggregating eyeballs." Gina Lombardi, president of MediaFLO USA Inc., says the company is ironing out distribution deals with programmers. These are believed to include NBC, MTV, and ESPN. Neither she nor the rumored partners would comment further.
There are huge hurdles to entering a business as entrenched as entertainment. TV networks, worried about how their local affiliates would react to the competition, have yet to sign on. And there is no agreement yet that would outline how to share ad revenues with the phone services, says Lombardi. That is making some phone outfits nervous. "It is a proprietary system, and that gives us pause," says Paul Reddick, Sprint's vice-president for business development.
Then there's the larger question of whether folks will even want to watch a palm-size TV. A spate of recent studies shows that consumers want their phones mostly to make calls (box). Jacobs blames the lack of interest on less-than-great experiences with handheld TV. So he knows the pressure is on to deliver. "If we don't do this right," Jacobs frets, "there won't be TV on cell phones for two generations."
The BusinessWeek 50
http://www.businessweek.com/magazine/toc/06_14/B397806bw50.htm
With world oil prices high, the energy sector’s strong showing in this year’s ranking of the BusinessWeek 50 comes as no surprise. But a host of companies—from Apple to Staples—have scored big by using technology, design, or clever marketing to build intense customer loyalty.
THE 2006 BW50:
1 Apple Computer
2 WellPoint
3 Caremark Rx
4 UnitedHealth Group
5 Schlumberger
6 Occidental Petroleum
7 Halliburton
8 Qualcomm
9 Amgen
10 Aetna
11 Lowe's
12 Burlington Northern Santa Fe
13 Motorola
14 Yahoo!
15 Goldman Sachs Group
16 Lehman Brothers Holdings
17 Gilead Sciences
18 Jabil Circuit
19 Best Buy
20 EMC
21 Baker Hughes
22 Texas Instruments
23 Cisco Systems
24 Starbucks
25 Intel
26 D. R. Horton
27 National Oilwell Varco
28 JPMorgan Chase
29 Merrill Lynch
30 Valero Energy
31 ConocoPhillips
32 Marathon Oil
33 Prudential Financial
34 Microsoft
35 Freeport-McMoRan Copper & Gold
36 Weatherford International
37 eBay
38 Coventry Health Care
39 CVS
40 FedEx
41 Franklin Resources
42 Lennar
43 Coach
44 Staples
45 NVIDIA
46 Norfolk Southern
47 Caterpillar
48 McKesson
49 Hartford Financial Services Group
50 Home Depot
Data: Standard & Poor's Compustat
----------------------------------------------------------
The BusinessWeek 50 Ranking 8 Qualcomm
RAISING ITS earnings expectations has become a regular event at Qualcomm. The San Diego-based cell-phone chipmaker has hiked its projections three times in the last year on the strength of its hot-selling CDMA digital wireless technology. The industry leader in the U.S., Qualcomm’s revenues have grown nearly fivefold since 2002. Now it’s making big inroads into Europe, China, and India, where its wireless technology trailed behind the more widely deployed GSM. Also, it’s gearing up for the U.S. launch later this year of MediaFLO, a TV-overthe- phone service that it hopes will drive chip sales.
Company Info
2005 Rank 13
GET MORE
COMPANY INFO QCOM
Market Value
$ Million 77,814.0
Total Return
$ Million (1-yr.) 32.0
(3-yr.) 179.1
2005 Sales
$ Billion 6.0
Sales Growth
$ Million (1-yr.) 19
(3-yr.) 21.5
Long-Term Growth Est. % 20.0
Net income
$ Million 2,250.0
Net Income Growth
$ Million (1-yr.) 23
(3-yr.) 64.6
Net Margin %* 37.4
Return on Inv. Capital (%)* 18.8
Share Price
12-Mo. Hi/Lo 49/32
P/E Ratio 36
Industry Technology Hardware & Equipment
CORPORATE WEB SITE
More in S&P 500 Companies Scoreboard >
*Trailing 12 months
Company data as of 2/28/06 provided by Standard & Poor's Compustat
Huge opportunities for wireless suppliers at Beijing Olympics
22 MARCH 2006
http://dataweek.co.za/article.asp?pklArticleId=3852&pklIssueId=546&pklCategoryId=42
Beijing, China, will be the home of the 2008 Summer Olympics, and already, over two years prior, this event is being considered as a huge business opportunity for both foreign and domestic enterprises.
According to electronics industry research firm Databeans, Beijing itself has pledged to invest over $23 bn toward preparation for the Games; and at least 15% of the budget will be spent on information technologies. Plans for new technological infrastructure include fibre-optic networks, HDTV digital network, and of course, the already large Chinese mobile communications network will need to be expanded.
China's Ministry of Information Industry announced earlier this year that TD-SCDMA would be the country's 'official' 3G standard for wireless communications. According to Databeans, with TD-SCDMA (time division-synchronous code division multiple access), China is attempting to free itself from dependency upon the other 3G standards coming from the West. However, TD-SCDMA on its own will likely not be enough to support the needs of the international community present at the Olympic Games. Other networks based upon the more popular 3G standards like WCDMA and CDMA2000 need to be built as well. Later this year, the Chinese government will likely be granting licences to all three of the standards.
For now, Siemens has already invested over $200m in TD-SCDMA, with Nokia also contributing, and investing over $100m, says the research firm. And several other major vendors are also involved, such as Motorola and Nortel. Siemens in particular hopes to gain large profits from the domestic wireless operators. Companies are investing now, anticipating the Olympics, but also see the opportunities for business that will undoubtedly be there after the Games have been completed.
According to Databeans' estimates, Asia Pacific is the number one region for cellphones in the world, contributing over 250 million units shipped to a world total of 805 million for 2006. For 2008, the year that the Games come to Beijing, Databeans expects worldwide cellphone shipments to exceed 1 billion units for the first time.
Samsung gears up for big foundry thrust
Mark LaPedus
EE Times
(03/22/2006 9:30 PM EST)
http://www.eetimes.com/news/semi/rss/showArticle.jhtml?articleID=183702063
SAN JOSE, Calif. — After dabbling in the foundry business for several years, South Korea’s Samsung Electronics Co. Ltd. is gearing up for a major thrust in the arena — a move that could pose a threat for providers in China, Singapore and Taiwan.
By year’s end, Samsung (Seoul) is planning to double the production capacity of its 300-mm logic fab from 15,000 to 30,000 wafers per month. Located in Giheung, South Korea, the fab is geared for the production of Samsung’s logic products and foundry services.
The company is currently manufacturing devices based on its 130- and 90-nm process technologies. It is also currently qualifying its 65-nm process, with production slated for later this year, said Ana Molnar Hunter, the new vice president of technology for its U.S. chip subsidiary, Samsung Semiconductor Inc., based here.
“We have big plans in the foundry business,” Hunter said in an interview. “In the past, Samsung has done some foundry work, but it was not the company’s strategic focus. What we’re saying now is that the foundry business is a strategic growth engine for Samsung.”
The company, which has dabbled in the foundry segment for years, is considered an IDM (integrated device manufacturer) foundry. The company not only provides foundry services, but it also develops and sells its own chip products.
Still, it competes for business against the pure-play foundry providers like Chartered, SMIC, TSMC, UMC, among others.
In recent times, Samsung has been putting the pieces in place to become a bigger and more serious foundry player. Last year, it began ramping up the 300-mm fab in Giheung.
In addition, the company recently formed a process technology partnership with IBM Corp. and Chartered Semiconductor Manufacturing Pte. Ltd. This allows customers to design to a common process and have access to manufacturing at all three companies, Hunter said.
Most recently, in a move to increase its foundry marketing activities in North America, Samsung on Tuesday (March 21) announced the appointment of Hunter, a former executive of Chartered and other chip makers.
Samsung has quietly assembled a foundry business team in the United States. Heading that team, Hunter is responsible for leading Samsung's foundry customer activities in North America.
Samsung did not break out its foundry sales and lists only one customer to date in the arena. As reported last year,, Qualcomm and Samsung extended their foundry partnership and the Korean company will start making the latest generation CDMA (Code Division Multiple Access) and W-CDMA (Wideband CDMA) wireless chipsets for Qualcomm. The chipsets will be produced using 90-nm process technology, with sub 90-nm nodes being employed in the future, the companies said.
Verizon Wireless' V CAST and QUALCOMM's BREW Solution Boost Premium Game Downloads Creating More Opportunity for Publishers and Developers
Wednesday March 22, 7:30 am ET
http://biz.yahoo.com/prnews/060322/law043.html?.v=54
SAN DIEGO and BEDMINSTER, N.J., March 22 /PRNewswire-FirstCall/ -- QUALCOMM Incorporated (Nasdaq: QCOM - News), a leading developer and innovator of Code Division Multiple Access (CDMA) and other advanced wireless technologies, and Verizon Wireless, the nation's leading wireless service provider, today announced that Verizon Wireless' V CAST service and QUALCOMM's BREW® solution are helping meet the growing demand for high-quality mobile games. According to Verizon Wireless, the company saw a 36 percent growth in gaming downloads over the last year since launching premium 3D games as part of the V CAST service. Verizon Wireless' V CAST service, which leverages CDMA2000® 1xEV-DO technology and the BREW solution, provides a wide variety of compelling wireless data options for subscribers, moving beyond just traditional applications to include mobile video and music players, 3D games and other advanced applications. This new data indicates how Verizon Wireless' investment in its industry-leading wireless broadband network is leading to a significant uptake in high-quality mobile game downloads.
ADVERTISEMENT
The combined capabilities of QUALCOMM's 3D graphics-enabled MSM(TM) chipsets, the BREW solution and support for industry-standard OpenGL® ES APIs offers game publishers and developers an efficient, flexible and high performance solution for creating the most advanced mobile games for mass market phones. Currently there are more than 40 3D games available on V CAST, retailing between $7.49 and $12.99 per title for unlimited gameplay or between $2.49 and $4.99 for a monthly subscription. When these games are delivered over a high-speed network, such as Verizon Wireless' CDMA2000 1xEV-DO-based national network, subscribers can rapidly access much larger and more compelling titles, generating excitement in the gaming community as well as significantly more revenue across the value chain.
"The availability of true 3G services through V CAST has proven to be a key differentiator for Verizon Wireless in continuing to offer the most compelling products to our loyal customers," said Jim Straight, senior vice president of wireless Internet and multimedia for Verizon Wireless. "With so many active V CAST customers already enjoying high quality 3D games, music and video services over high-speed connections, we have no doubt that the service will continue to gain momentum as the technology curve accelerates and consumer demand for exciting mobile 3D titles increases."
"We applaud Verizon Wireless' commitment to offering cutting-edge and in-demand mobile games to its subscribers," said Mitch Lasky, senior vice president of EA Mobile. "At EA, we are committed to publishing the world's most exciting mobile titles including Need For Speed(TM) Most Wanted and Madden NFL 06 for V CAST. From a development standpoint, a high-speed data service like V CAST and the BREW solution make it possible for us to create and deliver feature-rich 3D games that boast dazzling graphics and multiplayer functionality."
"Verizon Wireless' success with its V CAST service further validates the benefits of launching rich and robust value-added services enabled by the BREW solution," said Peggy Johnson, president of QUALCOMM Internet Services. "The demand for high-quality applications and content by wireless subscribers, and the efforts Verizon Wireless has taken to deliver these services, has proven beneficial to the other key members of the wireless value chain, including publishers, developers and device manufacturers."
About the BREW solution
The BREW solution drives the discovery and delivery of wireless data services. BREW customers can benefit from several offerings which include: uiOne(TM) for rich, integrated and dynamic user experiences with fast access to high revenue services on wireless devices; deliveryOne(TM) for differentiated and tightly integrated, operator owned support and delivery of advanced wireless data content and services; and marketOne(TM) for a quick-to- market, hosted, scalable content delivery service that includes rich media titles, flexible management and monetization, content provider settlement and business intelligence services. QUALCOMM offers this comprehensive set of BREW offerings to meet the distinct needs of companies delivering mobile products and services around the world.
About Verizon Wireless
Verizon Wireless owns and operates the nation's most reliable wireless network, serving 51.3 million voice and data customers. Headquartered in Bedminster, N.J., Verizon Wireless is a joint venture of Verizon Communications (NYSE: VZ - News) and Vodafone (NYSE: VOD; LSE). Find more information on the Web at www.verizonwireless.com. To preview and request broadcast-quality video footage and high-resolution stills of Verizon Wireless operations, log on to the Verizon Wireless Multimedia Library at www.verizonwireless.com/multimedia.
About Electronic Arts
Electronic Arts (EA), headquartered in Redwood City, Calif., is the world's leading interactive entertainment software company. Founded in 1982, the company develops, publishes, and distributes interactive software worldwide for videogame systems, personal computers and the Internet. Electronic Arts markets its products under four brand names: EA SPORTS(TM), EA(TM), EA SPORTS BIG(TM) and POGO(TM). In fiscal 2005, EA posted revenues of $3.1 billion and had 31 titles that sold more than one million copies. EA's homepage and online game site is www.ea.com. More information about EA's products and full text of press releases can be found on the Internet at http://info.ea.com.
QUALCOMM Incorporated (www.qualcomm.com) is a leader in developing and delivering innovative digital wireless communications products and services based on CDMA and other advanced technologies. Headquartered in San Diego, Calif., QUALCOMM is included in the S&P 500 Index and is a 2005 FORTUNE 500® company traded on The Nasdaq Stock Market® under the ticker symbol QCOM.
Except for the historical information contained herein, this news release contains forward-looking statements that are subject to risks and uncertainties, including the Company's ability to successfully design and have manufactured significant quantities of CDMA components on a timely and profitable basis, the extent and speed to which CDMA and the BREW solution are deployed, change in economic conditions of the various markets the Company serves, as well as the other risks detailed from time to time in the Company's SEC reports, including the report on Form 10-K for the year ended September 25, 2005, and most recent Form 10-Q.
QUALCOMM and BREW are registered trademarks of QUALCOMM Incorporated. uiOne, deliveryOne, marketOne and MSM are trademarks of QUALCOMM Incorporated. CDMA2000 is a registered trademark of the Telecommunications Industry Association (TIA USA). All other trademarks are the property of their respective owners.
QUALCOMM Contacts:
Michele Guthrie, QUALCOMM Internet Services
Phone: 1-858-651-4017
Email: mbg@qualcomm.com
Jeremy James, Corporate Communications
Phone: 1-858-651-1641
Email: corpcomm@qualcomm.com
Bill Davidson, Investor Relations
Phone: 1-858-658-4813
Email: ir@qualcomm.com
Verizon Wireless Contact:
Jeffrey Nelson, Corporate Communications
Phone: 1-908-306-4824
Email: jeffrey.nelson@verizonwireless.com
--------------------------------------------------------------------------------
Source: QUALCOMM Incorporated; Verizon Wireless
UTStarcom and QUALCOMM to Offer Compact, Field-Proven Mobile Communications Solution for Emergency, First Responders and Defense Applications
Tuesday March 21, 7:10 pm ET
Technology Was Field-Proven By Emergency Response Officials in the Wake of Hurricane Katrina
http://biz.yahoo.com/prnews/060321/sftu158.html?.v=10
LAS VEGAS, TELECOMNEXT 2006, March 21, /PRNewswire-FirstCall/ -- UTStarcom, Inc. (Nasdaq: UTSI - News), a global leader in IP-based, end-to-end networking solutions and services, today announced that the company has joined with QUALCOMM Incorporated (Nasdaq: QCOM - News), a leading developer and innovator of Code Division Multiple Access (CDMA) and other advanced wireless technologies, to develop the QUALCOMM Deployable Base Station based on UTStarcom's MovingMedia(TM) 2000 all-IP CDMA wireless core infrastructure technology, which provides the essential connectivity components.
(Logo: http://www.newscom.com/cgi-bin/prnh/20051013/SFTH063LOGO )
The QUALCOMM Deployable Base Station (QDBS) will be installed on a HUMMER at the UTStarcom booth (Booth #2129) at TelecomNext 2006 at the Mandalay Bay Convention Center in Las Vegas, Nevada from March 21-22, 2006.
"Following the destruction of Hurricane Katrina, the QUALCOMM Deployable Base Station was deployed via helicopter to St. Barnard Parish, La. and provided wireless communication services for first responders," said Diane Winchell, senior director of product management QUALCOMM's Government Technologies division. "We believe the portability and ease-of-installation of this unique mobile communications solution make it ideal for natural disaster, emergency or military scenarios where existing infrastructure is not operational and a quick, reliable communication system is vital."
Using proven 3G CDMA cellular technology, the QDBS is designed to provide a highly portable, all-IP CDMA2000® 800/1900 MHz network to enable reliable mobile voice and 153-kbps data service in both stand-alone scenarios or when interoperating with commercial or other private networks. Compact and easy to operate, the QDBS system is designed to interface with pico-cells and macro-cells to increase coverage areas and system capacities.
"We believe the small form factor and flexibility of the QUALCOMM Deployable Base Station also make it a perfect technology for both law enforcement and military applications," said Brian Caskey, vice president of worldwide marketing at UTStarcom, Inc. "The system is designed to be light enough to be vehicle mounted, meaning it can be forward deployed in remote locations with no communications infrastructure and maintain reliable communications via satellite back to the base or central office."
About UTStarcom's MovingMedia 2000
As a leading vendor of CDMA technology, UTStarcom's MovingMedia 2000 is designed to provide wireless operators with a complete, all-IP solution to reap the multiple advantages of 3G networks. The solution is designed to offer a smooth migration path for CDMA2000-based providers, allowing them to utilize broadband data technologies such as CDMA2000 1xEV-DO. The system is backwards compatible with second-generation CDMA (IS-95) technology. Moreover, all solution components are standards based and able to provide complete interoperability with other standards-based products, allowing wireless operators to preserve their existing equipment investment.
The MovingMedia 2000 solution leverages market-proven technologies and UTStarcom's extensive experience in building IP equipment and deploying IP networks. The MovingMedia 2000 product suite utilizes UTStarcom's distributed softswitch architecture for switching, transport, signaling, and call control. The MovingMedia 2000 product line includes a comprehensive suite of RF network elements, including base stations (BTS) and base station controllers (BSC), wireless softswitch components, and core data network components, including the packet data server node (PDSN) and home agent (HA).
About UTStarcom, Inc.
UTStarcom is a global leader in IP-based, end-to-end networking solutions and international service and support. The company sells its broadband, wireless, and handset solutions to operators in both emerging and established telecommunications markets around the world. UTStarcom enables its customers to rapidly deploy revenue-generating access services using their existing infrastructure, while providing a migration path to cost-efficient, end-to-end IP networks. Founded in 1991 and headquartered in Alameda, California, the company has research and design operations in the United States, China, Korea and India. UTStarcom is a FORTUNE 1000 company.
For more information about UTStarcom, visit the company's Web site at www.utstar.com.
About QUALCOMM
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 2005 FORTUNE 500® company traded on The Nasdaq Stock Market® under the ticker symbol QCOM.
Except for the historical information contained herein, this news release contains forward-looking statements that are subject to risks and uncertainties, including QUALCOMM's ability to successfully design and have manufactured significant quantities of CDMA components on a timely and profitable basis, the extent and speed to which CDMA is deployed, change in economic conditions of the various markets QUALCOMM serves, as well as the other risks detailed from time to time in QUALCOMM's SEC reports, including the report on Form 10-K for the year ended September 25, 2005, and most recent Form 10-Q.
NOTE: QUALCOMM is a registered trademark of QUALCOMM Incorporated. CDMA2000 is a registered trademark of the Telecommunications Industry Association (TIA USA). All other trademarks are the property of their respective owners.
This release includes forward-looking statements, including the foregoing statements regarding the anticipated functionality of the QUALCOMM Deployable Base Station (the "QDBS"), the anticipated exhibition of the QDBS at the Mandalay Bay Convention Center, the anticipated portability and ease of installation of the QDBS, the expectation that the QDBS may be ideal for natural disaster, emergency or military scenarios, the anticipation that the QDBS can provide a portable network to enable mobile voice and 153-kbps data service in both stand-alone scenarios or while interoperating with other networks, the expectation regarding the QDBS's size, comparability with pico-cells and macro-cells, coverage areas and system capabilities, the expectation that the size and flexibility of the QDBS may be ideal for both law enforcement and military applications, the expectation that the QDBS will be light enough to be vehicle mounted and forward deployed in remote locations and provide reliable communications via satellite, the anticipated ability of the MovingMedia 2000 solution to provide wireless operators with multiple advantages of 3G networks, the anticipated ability of the MovingMedia 2000 solution to allow smooth migration from CDMA2000 to broadband data technologies such as CDMA2000 1xEV-DO for services providers, the expectation that the MovingMedia 2000 solution will be backwards compatible with second- generation CDMA (IS-95) technology, the expectation that the MovingMedia 2000 solution components will be standards based and will be interoperable with other standards-based products, the expectation that the MovingMedia 2000 solution will allow operators to preserve their existing equipment investment, and the anticipated leveraging and utilization of existing UTStarcom technologies by the MovingMedia 2000 solution. These risk factors include rapidly changing technology, the changing nature of global telecommunications markets, the termination of significant contracts, the direction and results of future research and development efforts, evolving product and applications standards, reduction or delays in system deployments, product transitions, changes in demand for and acceptance of UTStarcom's products, general adverse economic conditions, and trends and uncertainties such as changes in government regulation and licensing requirements. UTStarcom also refers readers to the risk factors identified in its latest Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K, as filed with the Securities and Exchange Commission.
--------------------------------------------------------------------------------
Source: UTStarcom, Inc.
Analysis: Winning the patent game in Asia
Vivek Nanda
EE Times
(03/21/2006 7:51 AM EST)
http://www.eetimes.com/news/semi/showArticle.jhtml?articleID=183701296
We've heard so much about it over the last several years that intellectual property (IP) issues hardly get us excited. Yes, we all know about both sides of the story — the complaints by both patent holders mostly outside Asia and those in Asia new to the patent regime.
A recent report by the U.S.-based Manufacturing Policy Project concludes that companies from countries with weak IP protection are copying technologies from unprotected patent applications that the U.S. Patent and Trademark Office (USPTO) and Japan's Patent Office (JPO) post on the Internet. The JPO found out that its applications are being examined about 17,000 times daily from China and 50,000 times daily from South Korea.
The report claims that Chinese pirates and counterfeiters are now defending themselves with a new technique called “A Great Wall of Patents.” This process involves filing for patents in China for the products copied. The applications are claimed to use modified drawings and descriptions taken from the patent office Internet sites in the United States, Europe and Japan.
The report finds three patent crises for the United States: piracy costs U.S. IP owners about $50 billion a year; patent pendency rates are close to 30 months, which is impeding introduction of newer and better technologies; and the U.S. 18-month rule allows copying of proprietary U.S. technology.
The industry has often said that once IP violators become IP owners, both the respect for IP and its protection will increase. The good news for everyone involved is that IP ownership is indeed gaining ground in Asia, according to statistics from the World Intellectual Property Organization (WIPO). The WIPO, headquartered in Geneva, Switzerland, is a specialized agency of the United Nations. It administers the Patent Cooperation Treaty (PCT), which involves 128 countries, and 22 other international treaties dealing with IP protection.
In 2005, over 134,000 PCT applications were filed at the WIPO, representing a 9.4 percent increase over the previous year. While the top five countries that use the international patent system remained the United States, Japan, Germany, France and the United Kingdom, the highest rates of growth came from Asia — from Japan, South Korea and China, which between them accounted for about 24 percent of international applications, compared to 34.6 percent from countries with the European Patent Convention and 33.6 percent from the United States.
Since 2000, applications from Japan, South Korea and China have increased by 162 percent, 200 percent and 212 percent, respectively. India's filings too have been growing at a decent clip of about 27 percent compound annual growth rate since the year 2000. Overall, the international patent applications from developing countries in 2005 saw a 20 percent increase, and represented 6.7 percent of applications filed.
The top ten applicants of the PCT from developing countries included Samsung Electronics, LG Electronics and the Electronics and Telecommunications Research Institute (ETRI) from South Korea, Huawei Technologies and ZTE Corp. from China, Council of Scientific and Industrial Research (CSIR) from India, and Agency for Science and Technology and Research from Singapore.
Perhaps the most interesting way of boosting IP ownership is that employed by China. China has done some amazing work in standards in the area of 3G cellular (TD-SCDMA), media (enhanced versatile disc), audio/video coding (AVS) and RFID. The home-grown standards or variations of standards established elsewhere allow China, among a few other things, to promote the development of IP by local companies.
South Korea, a large investor in China, seems to be headed the same way with its digital mobile broadcast (DMB) standard that is derived from the digital audio broadcast (DAB) standard widely used in Europe.
Perhaps, one of the means to success in the IP ownership game is for Asian countries to join together, as European countries have, in setting regional standards. This, I believe, would maintain the obvious benefits of having standards while increasing Asia's competitiveness.
Vivek Nanda is editor-in-chief of EE Times Asia, a sister publication to EE Times.
Wireless: Carving up big market for tiny televisions
Eric Sylvers International Herald Tribune
MONDAY, MARCH 20, 2006
http://www.iht.com/articles/2006/03/20/business/wireless21.php
MILAN Live television on mobile phones is just getting out of the starting blocks, but a battle is already raging over which of the three main competing technologies will become the dominant standard - if any.
But unlike with the competing DVD standards hitting retail shelves this year, consumers will probably not have to worry about making the wrong choice. A single standard will probably be adopted for most geographic areas, with phone makers, broadcasters and mobile carriers in a region agreeing to use the same technologies, according to several industry experts.
Today, mobile TV is commercially available only in South Korea, where the government is subsidizing the development of a technology called Digital Multimedia Broadcasting, or DMB. While that gives DMB the early lead, many industry experts say that a technology backed by Nokia, the world's largest cellphone maker, is the long- term favorite. Nokia's support all but ensures that Digital Video Broadcasting-Handheld, or DVB-H, will become the standard in Europe and large parts of Asia outside of South Korea and Japan, according to analysts.
"We see DVB-H winning out over all, but there will also be limited space for some of the other technologies," said Adrian Drozd, a London-based senior analyst with Datamonitor. "DMB has a head start, but from 2007 onward DVB-H should get momentum and become the dominant technology."
DVB-H trials are under way by mobile phone networks in Spain, Germany, Britain, Italy, France, Singapore, Malaysia, Australia, the United States and other countries. The first commercial rollouts, including one by Hutchison Whampoa's 3 Italia, are scheduled to coincide with soccer's World Cup in June in Germany.
Qualcomm of San Diego has developed another standard called MediaFLO that will take a large slice of the U.S. market, and Japan has a fourth standard that is unlikely to expand much beyond its borders, according to a report by Datamonitor.
The consumer appetite for tiny- screen TV is a big unknown, but many industry analysts say that it will become popular. By 2009, according to a conservative estimate by Datamonitor, 69 million people worldwide will subscribe to mobile television services generating total revenue of $5.5 billion.
Datamonitor forecast that in 2009, 90 million DVB-H phones will be shipped by manufacturers, compared with 28 million DMB, 30 million MediaFLO and 18 million with the Japanese standard.
Some favor DVB-H because it can be used while a viewer is in motion in cars and trains. Like DMB, it makes use of existing TV infrastructure, holding down costs. But most important, DVB-H uses less battery power than DMB and can handle higher bandwidth and thus potentially more channels - about 50, compared with about five on DMB.
"DMB is likely to have problems competing with DVB-H because DMB uses much lower bandwidth," said Eino Kivisaari, a researcher with the Helsinki University of Technology.
DVB-H saves power by sending transmissions in bursts, which lets the tuner switch off between bursts. This reduces power consumption by as much as 95 percent, Datamonitor says. But DVB-H takes longer to change channels, almost 20 seconds in some trials. Though that will improve with time, analysts say it will not go much below five seconds.
DMB can change channels in a few seconds, and it has the advantage that it can be broadcast on frequencies that have already been allocated by most governments, according to the Datamonitor report. But this advantage will be disappear as DVB-H frequencies are allocated.
MediaFLO offers the bandwidth of DVB-H with faster channel changing, though it requires largely new and expensive infrastructure. Qualcomm's investment in the technology means it will likely dominate the U.S. market, industry experts say, but the large infrastructure requirements are likely to reduce its appeal in other countries. MediaFlo has almost been completely written off for the European market because of Nokia's support of DVB-H, said Drozd of Datamonitor.
With the standards battle slowly taking shape and with each technology carving out its share of the market, it will be up to mobile phone companies and television companies to work out mundane matters like how to split up the revenue.
Samsung Strengthens 3G Line-up
20th March , 2006
http://www.3g.co.uk/PR/March2006/2791.htm
Europe : Samsung Electronics demonstrated its commitment for global mobile phone market, showcasing Samsung’s hero 3G and 2.5G handsets with the latest design and technology at CeBIT 2006.
With the technology achievements of the world’s first 3.6Mbps HSDPA technology demonstration at CES in January and the introduction of Europe’s HSDPA phone at 3GSM, Samsung further enhances its leadership in 3G market with its powerful 3G model, the SGH-Z400 and reinforces its leadership 2.5G mobile phone market with the world’s slimmest slider, the SGH-D870 at CeBIT 2006.
Kitae Lee, President of Telecommunication Network Business at Samsung, said, “Samsung’s latest handsets are designed with simplicity in mind. These mobile phones demonstrate our continuing investment in handset design and functionality and address the consumers’ need for desirable and high performing phones with elegant design. We believe that these powerful phones will set the trend for mobile phones this year and lead the 3G and 2.5G global mobile phone market. “
Powerful 3G Experience with Stylish 3G Mobile: the SGH-Z400
Samsung’s latest hero, the SGH-Z400 especially exudes in its rich features and elegant design. Samsung’s SGH-Z400 adopts the elegant slide-up form factor in a slim design. It supports all features of 3G such as video telephony and streaming and comes with a 2 Megapixel camera, document viewer, and an external memory slot in a sleek design that fits into one’s hand. It also supports document viewer, Bluetooth and TV-output function. All these rich features are packed in only 18.4mm thickness. With the SGH-Z400, users can now experience 3G mobiles in a compact and even slim design. The ultimate synthesis of business function and executive style, this new Samsung 3G slider is equipped with all the features that users demand.
Samsung also showcased the fashion 3G slider, the SGH-Z550. Samsung’s SGH-Z550 is a slim, 3G mobile, elegance with its clean-cut and simple design. Samsung’s SGH-Z550 packs a two megapixel camera and 138MB embedded memory with an external memory slot in a slim case.
Premium Business 2.5G Mobile in the Ultimate slim Design : D870
With the ultimate slim slider, the SGH-D870, Samsung extends its mobile handset offering and strengthening its presence in the 2.5G handset market. Samsung’s SGH-D870 offers the latest in multimedia technology with premium slide-up design for business professionals. It comes in 13mm in thickness with slide-up design, the thinnest ever. It also comes with a 3.13 megapixel camera, opening the 3 megapixel camera phone trend for European mobile market this year. The SGH-D870 also has all of the business features such as an external microSD memory slot, document viewer, TV-output function, as well as Bluetooth stereo headset (A2DP) function to enhance the multimedia experience.
Samsung also showcased the SGH-E900 GSM mobile. Samsung’s SGH-E900 comes with an elegant black design with innovative touch key for quick and easy control. This slide-up handset has been designed for simplicity and convenience. The SGH-E900’s intuitive dual interface, which automatically distinguishes music mode from talking mode, illuminates only the necessary buttons for simple navigation and limits accidental button-pushing. This tri-band handset with EDGE multimedia technology features a 2 megapixel camera with 4x flash for still photos, video recording and video messaging.
Samsung’s new hero models for 3G and 2.5G not only look great, but include all of the latest multimedia and business must-have functionalities in a premium slim slide-up design.
The introduction of this new slim hero addresses the consumers’ desire for thinner handsets. Samsung was mindful to develop slim handsets that remained highly reliable devices with feature-rich technology included. Samsung is strengthening its slim line-up and new portfolio of slim handsets will be introduced by Samsung around the world throughout 2006.
Compact and Convenient, the 3G Slim Slider : SGH-Z400
Standard UMTS 2.1 GHz / GSM / GPRS (900 / 1800 / 1900MHz)
Camera 2 Mega pixel Camera
Display 2.0” 240x320 262K Color TFT LCD
Features Video Recording & Messaging (MPEG4 / H.263)
Video Telephony & Streaming
MP3/ AAC / AAC+/AAC+(e)
Bluetooth / USB / PictBridge
Document Viewer
Memory 30MB embedded, External (microSD)
Size 97 x 48 x 18.4 mm
Weight 107g
Simple and Elegant, the Fashion 3G Slim Slider : SGH-Z550
Standard UMTS 2.1 GHz / GSM / GPRS (900 / 1800 / 1900MHz) + EDGE
Camera 2 Megapixel Camera
Display 2.05" 240x320 260K Color TFT
Features Video Recording & Messaging (MPEG4 / H.263 / Real)
MP3 / AAC / ACC+ / ACC+(e)
Dual Speaker / Digital Power Amp
Bluetooth / USB
Document Viewer
Memory 138MB embedded, External memory (microSD)
Size 93 x 45 x 17.5 mm
Weight 95g
* Specifications are subject to change without notice.
Elegant and Sleek, the Ultimate Slim Slider : SGH-D870
Standard GSM / GPRS (900 / 1800 / 1900MHz) + EDGE
Camera 3.13 Megapixel Camera
Display 2.1” 240x320 262K Color TFT
Features Video Recording & Messaging (MPEG4 / H.263)
MP3 / AAC / ACC+ / AAC+ (e)
Digital Power Amp
Bluetooth / USB / PictBridge
Document Viewer / TV-output
Memory 80MB embedded, External memory (microSD)
Size 103.5 x 51 x 13 mm
Weight 93g
* Specifications are subject to change without notice.
Glossy and Agile, the Fashion Slim Slider : SGH-E900
Standard GSM / GPRS (900 / 1800 / 1900MHz) + EDGE
Camera 2 Megapixel Camera
Display 2.0" 240x320 262K Color TFT
Features Video Recording & Messaging (MPEG4 / H.263)
MP3 / AAC / ACC+ / AAC+(e) / WMA
Digital Power Amp / Touch Key
Bluetooth / USB
Document Viewer / TV-output
Memory 80MB embedded, External memory (microSD)
Size 93 x 45 x 16.5 mm
Weight 93g
Startup to Wed Mobile Games, Live TV Shows
By MAY WONG
AP Technology Writer
March 20, 2006, 5:15 AM EST
http://www.dailypress.com/technology/ats-ap_technology10mar20,0,7623125.story?coll=sns-technology-he....
SAN JOSE, Calif. -- Dialing into the fast-growing market for mobile games, a San Francisco-based startup is poised to unveil a new service on Monday that it hopes will make television viewers as hooked to their cell phones as they are to remote controls.
AirPlay Network Inc. said it will introduce a lineup of cell phone games tied to live television broadcasts. While watching TV, subscribers could use their cell phones to compete against others in "real time" by predicting plays in sports, choosing winners on reality TV shows or picking answers on game shows.
The first product, "AirPlay Sports," is due for release in the fall to coincide with the start of the professional football season. An NFL-related AirPlay game, for instance, would ask cell phone quarterbacks to predict the offense's next moves -- a pass or a run -- as the real game unfolds live on television.
Other games tied to reality TV and game shows will be launched next, according to the company.
AirPlay subscribers would have to use an Internet-connected cell phone to play. They would download games to their handsets directly through AirPlay's Web site or through a partnering wireless carrier. The subscription fee has not been disclosed yet.
"We're creating a multiplayer experience and a social network synched with television," said AirPlay CEO Morgan Guenther, a former president at TiVo Inc. The idea, he said, is to transform TV from a passive pastime to an engaging, competitive experience.
Guenther contends the concept differs from earlier failed attempts to make TV interactive because AirPlay uses the ever-ready cell phone as the interface instead of an Internet-connected television.
"Chances are, the cell phone is right next to them already," he said.
It also factors in the social aspects of gaming that have drawn millions of players to compete for rankings on community-like scoreboards, according to Guenther. Other game companies, such as Digital Chocolate Inc., have also introduced multiplayer-type games for the cell phone.
AirPlay is backed by $4 million from Redpoint Ventures and cell phone technology provider Qualcomm Inc.
I do not think MaxPain's number of 47.5 will be realized today.
http://www.ez-pnf.com/maxpain/mp3618.htm
Symbol Time* Trade* Change* After Hrs Chg* Bid* Ask*
QCOM 12:03PM ET 50.76 +0.89 (1.78%) N/A 50.74 50.75
dwdkc, I hope you are right!
According to below analysis, the Average Estimated Price by 9/30/06 is 57.91 or about 58 as you stated.
http://moneycentral.msn.com/investor/research/wizards/srwtarget.asp?Symbol=QCOM
What's the best guess for the stock price in 1-2 years?
Investors fix targets for most stocks by estimating future earnings per share and then applying a price-to-earnings "multiple", also known as the P/E ratio. Companies with the most consistent earnings history or strongest growth prospects receive the highest P/E multiples. We calculate price targets for the current and next fiscal year by applying the stock's current multiple to the average professional analyst's estimate.
Valuation using QUALCOMM INC 's current multiple (P/E):
Fiscal Year Est Low/High Price Range Avg. Est. Price % Change for Average
9/2006 $51.43-$62.10 $57.91 14.54%
9/2007 $55.25-$75.44 $65.53 29.61%
QUALCOMM INC current price: 50.56
QUALCOMM INC current multiple (P/E): 38.10
QUALCOMM INC average 9/2006 estimate: 1.52
QUALCOMM INC low 9/2006 estimate: 1.35
QUALCOMM INC high 9/2006 estimate: 1.63
QUALCOMM INC average 9/2007 estimate: 1.72
QUALCOMM INC low 9/2007 estimate: 1.45
QUALCOMM INC high 9/2007 estimate: 1.98
A European Commission Document, 2002
Courtesy of mrikyu from YAHOO QCOM Board
03/17/06 01:05 am
Msg: 586992 of 587002
Tuesday, November 12th, 2002
http://finance.messages.yahoo.com/bbs?.mm=FN&action=m&board=4686818&tid=qcom&sid=468....
Antitrust clearance for licensing of patents for third generation mobile services
Today the European Commission has granted antitrust clearance to a set of agreements that is aimed at giving third generation ("3G") mobile equipment manufacturers better access to patents. Improved access to patents is essential for a rapid introduction of 3G mobile services in Europe. As in the case of 3G network sharing, the Commission welcomes industry initiatives that accelerate the introduction of 3G mobile services for European customers, provided that such initiatives do not distort competition with respect to different 3G mobile technologies. In the present case, it appears unlikely that the proposed agreements will restrict competition between different 3G mobile technologies. However, given the novelty of the different 3G technologies involved, any significant change in the factual or legal situation would require re-assessment of the arrangements under the competition rules
Background
The new 3G mobile technologies are expected to bring about a plethora of multimedia and high-speed voice and data services to mobile phone users.
Manufacturers who want to produce 3G equipment need to comply with technical specifications that are set forth in the so-called IMT-2000 3G standard. The IMT-2000 standard comprises five different technologies, each of which can be used to produce 3G equipment.
In order to produce 3G equipment manufacturers need to have access to those patents that are indispensable for using a particular technology. Those patents are usually referred to as "essential patents".
However, a patent that is essential for using a particular technology may still compete with a patent that is essential for using another technology if the two technologies compete. Therefore, in assessing licensing agreements for 3G equipment the Commission must ensure that competition between those essential patents that compete is maintained.
The notified agreements
On 14 July 2000 the notifying parties(1), who refer to themselves as the 3G Patent Platform Partnership ("3G3P") submitted a set of agreements dealing with the above-mentioned 3G essential patents. In particular, the agreements set up procedures to identify whether a patent is essential, to streamline the licensing of those who are deemed essential and to reduce the overall licence fees to be paid for the entire portfolio of essential patents.
Maintaining competition
In order to safeguard competition between potentially competing essential 3G patents for 3G different technologies, the parties have agreed to modify the initial structure of the agreements and establish five separate sets of arrangements, one for each technology, instead of combining all essential patents in one single platform.
In addition, clearance under antitrust rules requires that each licensing agreement is limited to essential patents only, that the agreements do not foreclose competition in related or downstream markets, licensing should be carried out under non-discriminatory terms and competitively sensitive information is not exchanged. Furthermore, 3G manufacturers should not be forced to pay for patents rights other than those that they really need. Finally, the licensing arrangements should not discourage further R&D and innovation in the mobile communications sector.
The system of five separate 3G patent licensing arrangements for each of the five 3G technologies meets the above criteria and is therefore unlikely to restrict competition and innovation.
Finally, the Commission has also taken into account that a number of major 3G essential patent holders (among those Ericsson, Nokia, Motorola, and Qualcomm) are not party to the notified arrangements. Given the significant number of essential patents that will remain outside of the arrangement, the Commission has concluded that it appears unlikely that the notified agreements will be capable of restricting the competitive offer of 3G mobile technologies and 3G services to consumers.
The Commission has therefore issued a negative clearance administrative letter ("comfort letter"). However, the scope of this letter is limited to the notified agreements and does not extend to any other industry initiatives or decisions of 3G standard setting bodies and industry working groups.
(1)Alcatel, Cegetel, Electronics and Telecommunications Research Institute Korea (ETRI), France Telecom, Fujitsi, Royal KPN N.V., LG Information and Communications, Matsushita, Mitsubishi Electric, NEC, NTT DoCoMo, Robert Bosch GmbH, Samsung Electronics, Siemens AG, SK Telecom, Sonera Corporation, Sony and Telecom Italia Mobile.
Qualcomm readies its MediaFLO plans
Nicolas Mokhoff
EE Times
(03/16/2006 10:00 AM EST)
http://www.eetimes.com/news/latest/showArticle.jhtml?articleID=183700057
NEW YORK — Betting on users in emerging market countries to use their cell phones to predominantly play games, Qualcomm will leverage technologies from its acquisition of Iridigm and its build-out of MediFLO infrastructure to offer mobile TV on cells by the end of the year.
"We pumped $800 million to launch MediaFLO with Verizon being the first carrier to offer it in early 2007," said Nagraj Kashyap, Senior Manager, Business Development at Qualcomm Ventures, during the USDC/Needham Display Industry Investment Conference here Wednesday (March 15). "We are working to bring down the 20 to 25 percent of the total bill of materials of the display part of a cell phone.”
Kashyap said that the next-generation of lithium ion batteries will go a long way to help with the cell phone power requirements as well. "We are working with several companies who are developing new lithium batteries. We will be selling separate chips and chip sets, including power management ICs to cell phone manufacturers for use on the MediaFLO service."
MediaFLO is a Forward Link Only service that is essentially a broadcast service to be used for mobile TV applications. MediaFLO USA is a nationwide network that uses the 700 MHz spectrum that can support up to 20 streaming channels, up to 10 audio channels and numerous IP datacasting channels.
FLO technology is supported by the FLO forum, an organization of more than 25 leading global wireless industry companies that ensures specifications will be open and available to a wide range of technology providers, and equipment and handset manufacturers.
Earlier today, The Forum said it has ratified key specifications developed by its Test and Certification Committee that focus on interoperability and compatibility for FLO- based terrestrial mobile multimedia multicast devices and transmitters.
Qualcomm hopes MediaFLO will further promote mobile phones as an indispensable device consumers feel they must carry.
"It's becoming so that you take a wallet, underwear and your cell phone when you leave the house", said Kashyap. "And this will be even more so in emerging market countries where the cell phone is becoming the center of personal work and play."
Qualcomm also hopes to leverage display technologies acquired from Iridigm Display Corp. in Sept. 2004 in their mobile phones. The company formed Qualcomm MEMS Technologies (QMT) to commercialize Iridigm's iMoD technology, which promises substantial performance and power consumption benefits over alternative display technologies.
iMOD is a reflective display technology that can operate over an extended temperature range and can be viewed in bright sunlight and a much wider array of environments than competitive technologies. Also, the display unlike conventional LCD technologies only consumes power when a pixel is changed.
Qualcomm upgraded at Merrill: QCOM was upgraded to Buy from Neutral, Merrill Lynch said. $60 price target. Company could take market share in an expanding WCDMA market, and earnings expectations could prove conservative.
Merrill Lynch Upgrades Qualcomm To Buy From Neutral
Thursday, March 16, 2006 7:41:55 AM ET
Dow Jones Newswires
http://www.newratings.com/analyst_news/article_1229831.html
Merrill Lynch upgraded Qualcomm Inc. (QCOM.NAS) to buy from neutral because investors should focus on the telecommunication concern's growth, rather than a European Commission "abuse of dominance" investigation that could take years to complete.
Merrill Lynch said the process may take a few years and it expects Qualcomm will benefit in the meantime from low estimates and from strong momentum in handset sales and in the chip side of the business.
Pre-Market Quote: QCOM 8:11AM ET 50.82 +1.01
after Merrill Lynch raised its rating on the company to "buy."
Symbol Time* Trade* Change* After Hrs Chg* Bid* Ask*
QCOM 8:11AM ET 50.82 1.01 (2.03%) N/A 50.76 50.82
BREAKOUT WATCH for possible breakout above 49.26, no resistance in area just above.
Type: True breakout from double resistance.
Target: 52.1, 5.8% Stop: 48.2, Loss: 2.1%, Profit/Loss ratio: 2.8 : 1 - Good
http://quotes.nasdaq.com/quote.dll?mode=stock&page=multi&symbol=qcom&symbol=&symbol=...
then click on:
NASDAQ StockConsultant
QCOM is moving up nicely, we may see 50 soon.
Per INET:
GET STOCK :QCOM
LAST MATCH
Price 49.6000
Time 9:34:27.594
TODAY'S ACTIVITY
Orders 1,988
Volume 166,211
Balance-Sheet Powerhouses
John Dorfman , president of Dorfman Investments in Boston, is a columnist for Bloomberg News. The opinions expressed are his own. His firm or its clients may own or trade investments discussed in this column.
http://quote.bloomberg.com/apps/news?pid=10000039&refer=columnist_dorfman&sid=aN3vL0RZ6Log
EBay and Microsoft Are Balance-Sheet Powerhouses: John Dorfman
March 15 (Bloomberg) -- Remember Scrooge McDuck from comics of yore? He would sit on a pile of cash and diamonds, relishing the feel of his wealth.
Few of us will ever know McDuck's smug feeling. As consolation, we can invest in companies that are cash rich and have few if any debts.
For companies, a strong balance sheet -- lots of assets and little debt -- provides staying power, the ability to take advantage of strapped competitors, and the power to seize unexpected opportunities.
Every year, I compile a list of ``Balance Sheet Powerhouses.''
Microsoft Corp. (MSFT) and Forest Laboratories Inc. (FRX) have made my balance-sheet honor roll six years in a row -- each year since the beginning in 2001. EBay Inc. (EBAY) and Qualcomm Inc. (QCOM) have been honored five times each.
Google Inc. (GOOG), which began trading publicly in 2004, is on the list for a second time, and looks likely to stay. As of Dec. 31, it had $3.88 billion in cash and near cash, $4.16 billion in marketable securities, and no debt.
Powerhouse Terms
To be a Balance Sheet Powerhouse, a stock must meet six standards:
* A market value of $1 billion or more.
* Long-term debt of $200 million or less.
* $300 million or more in cash or near-cash.
* Total debt less than 10 percent of stockholders'
* equity.
* A current ratio (current assets divided by current
* liabilities) of 2-to-1 or more.
* Earnings of at least 10 cents a share in the latest
* fiscal year.
Being on the Powerhouse list is an honor, but not necessarily a stock recommendation. In many cases, the excellence of the companies is already reflected in the stock price.
Since 2001, the stocks on the Balance Sheet Powerhouse list have returned an average of 10 percent in the 12 months after their listing.
That beat the average return on the Standard & Poor's 500, which has been 3.9 percent. Still, I wouldn't call it a spectacular result.
Moral Point
Most years, I have recommended a few of the Balance Sheet Powerhouses that, in addition to financial strength, have stocks that are fairly cheap. The average annual return on my recommended stocks has been 31 percent.
Moral: Financial strength plus a cheap stock beats financial strength alone.
I blew it last year, however. My two recommendations -- Forest Labs and Timberland Co. (TBL) -- returned an average of only 2.7 percent from Feb. 17, 2005, through March 13, 2006.
Over the same period, the Powerhouses as a group returned 21 percent and the S&P 500 returned 9.1 percent. All figures include dividends.
This year, 42 companies make the Balance Sheet Powerhouse list, beating last year's record of 38.
Three Bargains
Three strike me as cheap.
I recommend Ashland Inc. (ASH), Intergraph Corp. (INGR) and American Eagle Outfitters Inc. (AEOS).
Ashland, which I own for clients and personally, is the largest U.S. road builder. The Covington, Kentucky, company also produces chemicals and makes Valvoline motor oil.
Ashland sells for bargain valuations -- five times earnings, 1.3 times book value (assets minus liabilities per share) and 0.5 times revenue.
The company has turned a profit in 18 of the past 19 years. As of Dec. 31 it had $985 million in cash and $403 million in marketable securities, against $94 million in long-term and short-term borrowings.
Intergraph, based in Huntsville, Alabama, makes software used for mapping and other visual representations of data. It is a high-risk pick because analysts expect earnings to fall in 2006 to about $1.33 a share from $3.83 a share last year.
As of Dec. 31 Intergraph had $307 million in cash and near cash, with less than $1 million in borrowings. I own the stock for a few clients.
Soaring and Diving
American Eagle, a clothing retailer with headquarters in Warrendale, Pennsylvania, has more than $751 million of cash and near cash on its books as of Jan. 31. The balance sheet shows no debt, long-term or short-term.
American Eagle stock makes big moves in both directions. For example, it was down 47 percent in 2002 and up 187 percent in 2004. Today, I consider it reasonably priced at 15 times earnings.
Here is the full list of this year's Balance Sheet Powerhouse honorees:
Six-time winners: Forest Labs and Microsoft.
Five-time winners: EBay and Qualcomm.
Four-time winners: Foundry Networks Inc. (FDRY), Imation Corp. (IMN), KLA-Tencor Corp. (KLAC) and National Semiconductor Corp. (NSM).
Three-Time Winners: Altera Corp. (ALTR), Analog Devices Inc. (ADI), Apple Computer Inc. (AAPL), AVX Corp. (AVX), Circuit City Stores Inc. (CC), Compuware Corp. (CPWR), Electronic Arts Inc. (ERTS), Gentex Corp. (GNTX), Novellus Systems Inc. (NVLS), Robert Half International Inc. (RHI) and Sandisk Corp. (SNDK).
Two-time winners: Adobe Systems Inc. (ADBE), Broadcom Corp. (BRCM), Google, Linear Technology Corp. (LLTC), W.W. Grainger Inc. (GWW) and Xilinx Inc. (XLNX).
Newly added: American Eagle Outfitters, AnnTaylor Stores Corp. (ANN), Ashland, Biogen Idec Inc. (BIIB), Ceridian Corp. (CEN), Claire's Stores Inc. (CLE), Cogent Inc. (COGT), Dolby Laboratories Inc. (DLB), Guidant Corp. (GDT), Intergraph, Kos Pharmaceuticals Inc. (KOSP), Lam Research Corp. (LRCX), Michaels Stores Inc. (MIK), Molex Inc. (MOLX), Nvidia Corp. (NVDA), Stryker Corp. (SYK) and Tellabs Inc. (TLAB).
To contact the writer of this column:
John Dorfman in Newton Centre, Massachusetts jdorfman@bloomberg.net
Last Updated: March 15, 2006 00:19 EST
Zacks All Star Analysts Portfolio Highlights: Hilton Hotels, PetSmart, QUALCOMM and Rowan Companies
March 15, 2006 06:00 AM US Eastern Timezone
http://home.businesswire.com/portal/site/google/index.jsp?ndmViewId=news_view&newsId=20060315005....
CHICAGO--(BUSINESS WIRE)--March 15, 2006--Zacks.com just released its latest additions and deletions to its proprietary All Star Analyst portfolio. Members on this exclusive list include Hilton Hotels Corporation (NYSE:HLT), PetSmart, Inc. (NASDAQ:PETM), QUALCOMM Inc. (NASDAQ:QCOM) and Rowan Companies, Inc. (NYSE:RDC). View the entire list of stocks on the All Star Analyst portfolio at http://at.zacks.com/?id=510
This exclusive portfolio represents all stocks with a Strong Buy rating from at least four analysts with a 5-Star All Star ranking. These are the brokerage analysts whose stock recommendations proved to be the most profitable for investors. Since July 2002, this portfolio has generated an annualized return of 12.92%, exceeding the S&P 500 by a margin of more than 50%. Here is a synopsis of why these stocks are in the All Star Analysts Portfolio:
Hilton Hotels Corporation (NYSE:HLT) reported fourth quarter earnings per share of 22 cents, excluding items, which improved upon the year-earlier performance. The result also bettered the consensus by almost 16%. Total revenue advanced 3% to $1.083 billion from $1.054 billion in the same quarter of 2004. Furthermore, comparable owned hotel revenue per available room (RevPAR) advanced 13.5% with double-digit RevPAR growth in almost all major markets. For 2006, Hilton Hotels said it is looking forward to a continuation of the strong business trends in 2005 and new worldwide growth opportunities stemming from its acquisition of Hilton International. The company is one of the All Stars' favorite names in the hotels industry.
PetSmart, Inc. (NASDAQ:PETM) said business was strong throughout the fiscal fourth quarter. Excluding items, the company posted earnings of 47 cents per share on net sales of $1.05 billion. That earnings result improved year-over-year, while also beating the consensus by more than 2%. Net sales advanced from $934.3 million as same-store sales improved 4.5%. For fiscal 2005, non-GAAP earnings per share reached $1.17, compared to $1.03 in fiscal 2004, while net sales of $3.76 billion advanced from $3.36 billion. Same-store sales for the year grew 4.2%.
QUALCOMM Inc. (NASDAQ:QCOM) now expects fiscal second quarter pro forma earnings of 40 cents to 41 cents per share, compared to the company's previous outlook of between 35 cents and 37 cents. That range was also above the consensus at the time. Revenues are now expected between $1.75 billion and $1.82 billion, instead of $1.63 billion to $1.73 billion as previously predicted. QUALCOMM said the estimate is based on the shipment of about 47 million to 48 million Mobile Station Modem chips during the quarter, compared to estimated shipments of about 44 million to 46 million. The company's prospects and raised guidance continue to keep QUALCOMM on the lists of several All Stars.
Rowan Companies, Inc. (NYSE:RDC) is a major provider of international and domestic contract drilling services. During its fourth quarter report from earlier this month, Rowan Companies said its drilling and manufacturing businesses continue to reach new heights while its near-term outlook remains very favorable. For the quarter, the company posted earnings of 63 cents per share on revenues of $317.4 million. Not only did that earnings result mark a substantial year-over-year improvement, but it also topped the consensus by almost 19%. Revenues advanced from $190.7 million in the previous year's fourth quarter. One highlight for the quarter was an average Gulf of Mexico day rate that jumped 82% year-over-year.
Discover all the current All Star Analyst rankings and top analyst recommendations at http://at.zacks.com/?id=511
About Zacks All Star Analyst Survey
To learn which brokerage analysts are the best in their field and what stocks they're recommending today, see the Zacks All Star Analyst survey. This exclusive survey, created with Fortune Magazine, reveals the "Best-of-Breed" brokerage analysts. They are the select group of winners from the universe of brokerage analysts - the ones who consistently beat the street - the few you should be following now. Visit the Zacks All Star Survey to find the best analysts and their top stock recommendations at http://at.zacks.com/?id=512
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OnStar: 10 Years After
13 Mar 2006
Source: Automotive Design and Production
http://www.just-auto.com/features_detail.asp?art=1205
It is going to be standard on all GM vehicles in the U.S. and Canada by the end of ’07. Its technology and service are also offered by non-GM companies, including Lexus. And while there have been and are some competitors (the business of a cross-town rival closed down before it was up and running), OnStar is one of the brightest things GM has going. By Gary S. Vasilash, Editor-In-Chief (Automotive Design and Production).
Chet Huber remembers back in 1995, when his entire staff would meet in a single office and some of them would be sitting on cardboard boxes. He recalls that on his office wall there was a target with the numeral “50” in the center. Today, Huber’s organization, OnStar Corp. (www.onstar.com; Detroit), a wholly owned subsidiary of General Motors, has four million subscribers. The 50 was the number of people that they were hoping to sign up per day. Early on, they weren’t always making that number. Huber admits that it took a lot of commitment on behalf of GM executives back in the early going of the business, as they were trying to do something that had never been done before—and arguably, something that no other company in the world is doing to the degree that OnStar is. There are now some 500 employees. The cardboard boxes have given way to the OnStar Command Center in GM Headquarters that looks like something operated by NASA.
On an average month in the third quarter of 2005, OnStar was involved in:
900 automatic airbag notifications
500 stolen vehicle location assists
15,000 emergency calls
44,000 remote door unlocks
340,000 route support calls
25,000 roadside assistance
5,500 Good Samaritan calls
32,000 remote diagnostics
12.6-million hands-free calls
And more.
HUBER’S JOURNEY. They’ve come a long way in 10 years. In some regards, Huber has gone even further. In 1972, the co-op engineering student (General Motors Institute; now Kettering University) joined the then-GM Electro-Motive Div. (GM sold the company to two equity groups in 2005). He recalls that in 1994 his boss asked him to lunch. He wondered whether he’d done something wrong because that wasn’t the norm. His boss explained to him that the U.S. Department of Defense was offering an opportunity for a handful of civilians to attend the National Defense University’s Industrial College of the Armed Forces, and that GM wanted him to do it. He was the first Industrial Fellow to attend the school. He obtained a Master of Science Degree in National Resource Strategy in June 1995 (he’d previously received an MBA from Harvard.) Huber says that this was an unusual turn of events for a mechanical engineer who had been selling railroad engines. Upon his return from those studies, he was assigned to what became OnStar and has been its first and only president since June 1995.
DRIVING TECHNOLOGY. A premise that Huber and his colleagues started with was that OnStar technology development had to be more akin to the consumer electronics industry than the traditional auto industry. In other words, the long lead times between development and deployment had to be overcome lest the product/service offering they were presenting to the public was behind the times. “A fundamental proof-point for us was whether we could move the technology fast enough.” So they began working with electronics companies including Motorola (www.motorola.com; Schaumburg, IL), which has been supplying OnStar since 1996. In October 2005, it was announced that Motorola would be supplying GM with its next-generation Telematics Control Unit (TCU); the company’s present generation is being used in the system at present. The TCU incorporates wireless and global positioning system (GPS) technology to connect the vehicle to an OnStar call center. The two firms had to work through technology developments during the past few years, such as making a transition from analog to digital technology.
“We’re now on Gen 6 hardware,” Huber says. “Six generations in nine years. It’s almost the pace of consumer electronics. The cost of the hardware has gone down and the reliability and the capability have gone up.” He references a couple of consequences of the improvements. The Gen 6 system has voice recognition software, ViaVoice from IBM (www.ibm.com; Armonk, NY), that is able to recognize a continuously spoken telephone number. Huber says that in early versions of the product, not only did the speaker---have---to---say---each---number---with---a---pause---between---it---and---the---next, but it was so sensitive to accents that if the speaker wasn’t from the Midwest, the system had a difficult time discerning what was said. That’s just one of the improvements.
General Motors announced in early ’05 that OnStar would be offered as a standard feature in all of GM retail vehicles sold in the U.S. and Canada by the end of ’07. “If we had the cost base on Gen 2 technology,” Huber says, “the standardization across all the GM vehicles wouldn’t work.” The economics wouldn’t work.
While Huber says they’d hoped they would have been able to use hardware and software largely off the shelf, so far they’ve applied for some 300 patents. He remarks, perhaps only half-joking, “I would have been happy if we’d filed for zero patents. That would have meant that we didn’t have to invent anything.”
BEYOND THE AIRBAG CALL. One of the aspects of the system he thinks is particularly important is what’s called “Advanced Automatic Crash Notification” (AACN). Huber says that in discussions with organizations ranging from the Centers for Disease Control (yes, it does work in the area of motor vehicle accidents) and the National Highway Traffic Safety Administration to the Mayo Clinic, it became evident that it would be helpful if emergency responders would be able to get more information from the OnStar advisors than just that there was an airbag deployment and whatever other information was made available by a vehicle occupant (i.e., an airbag deployment initiates the sending of a signal to an OnStar center; an OnStar advisor then calls the vehicle; if there is no response or if there is and the person responding says there’s an emergency, then local emergency responders are contacted). With AACN, if there is a collision, information on forces and directions of the impact is gathered by an array of sensors on the vehicle; this information also indicates whether there have been multiple impacts and whether the vehicle has rolled. This information can be helpful in describing to the responders what they’ll be dealing with when they arrive at the accident scene.
Another recently introduced capability is for an OnStar equipped vehicle to send an email to its owner. The first installed on model year ’04 vehicles, can do this. The Oil Life System monitors engine operating conditions so as to make a determination of when the oil needs to be replaced. This monitored information and more are used by the OnStar Vehicle Diagnostics system. The system checks out the engine/transmission, airbag, ABS, and the OnStar system itself. It runs a check of approximately 1,600 diagnostic codes. Then, on a monthly basis, it sends an email to a customer-specified address. This email includes information on whether those systems need service, as well as about the remaining oil life, the odometer reading and whether service is necessary at that point, any recall or service action campaigns related to the vehicle, and more. Between when the service was announced in mid-September 2005 to mid-December 2005, 445,000 OnStar customers subscribed to it.
And Huber was once hoping to sign up 50 people per day.
One of the partners OnStar has is Verizon (www.verizon.com; New York, NY). Inside an OnStar system is a telephone that permits hands-free, voice-activated calling. Customers can buy prepaid minutes from OnStar, or for people who have Verizon cell phone service, there is a plan specifically for OnStar such that the cell phone and the OnStar system can share minutes and it can be setup so that calls can be automatically forwarded from the cell phone to the car phone. While there are some critics who say that a Bluetooth-enabled cell phone that can work through a car’s audio system is a simpler solution, OnStar president Chet Huber points out that (1) the OnStar phone is being constantly charged by the vehicle’s battery, so an out-of-power situation is less likely than with a cell phone. What’s more, it is a 3-W system, not a 0.6-W as a cell phone is, so there is a stronger signal. (One part of the sixth generation technology is the use of 3G CDMA2000 1X wireless technology developed by QUALCOMM (www.qualcomm.com; San Diego), which is capable of taking advantage of two digital frequencies and one analog frequency, depending on network availability.) During Hurricanes Katrina and Rita, OnStar subscribers in the affected areas found that they could make calls from their vehicles when their cell phones weren’t working, in part because of the more powerful installed
Sprint Home VoIP/Cellular Set For 2nd Half
http://www.siliconinvestor.com/readmsg.aspx?msgid=22254487
Five Growth Picks In Technology
Kate DuBose Tomassi, 03.13.06, 8:51 AM ET
http://www.forbes.com/markets/2006/03/13/google-ebay-0313markets02.html
Citing her expectation that information technology spending will accelerate in 2006, Goldman Sachs analyst Laura Conigliaro said her top technology picks for growth are eBay, Google, Marvell Technology Group, Qualcomm and Satyam Computer Services, all rated "outperform."
The analyst said product cycles are strengthening due to technology relating to 3G, SOA software infrastructure, Microsoft (nasdaq: MSFT - news - people ) Vista, and new storage solutions.
In addition, the analyst sees improvement in IT spending by some vertical markets including communications, business services and health care.
The business environment is improving in Europe, according to the analyst, and management displayed increased confidence with respect to IT budgets, geographies and product cycles at a symposium hosted by the firm last week.
Results from Goldman Sachs' latest survey on IT spending indicate that the vendors with the top share gain are Dell (nasdaq: DELL - news - people ) in servers and systems, Dell and Hewlett-Packard (nyse: HPQ - news - people ) in personal computers, and EMC (nyse: EMC - news - people ) and IBM (nyse: IBM - news - people ) in storage.
Vendors who seem to be losing share, according to the firm's survey, are Sun Microsystems (nasdaq: SUNW - news - people ) in servers and storage, Lenovo in personal computers, and CA (nyse: CA - news - people ) and Novell (nasdaq: NOVL - news - people ) in software.
DVB-H will win mobile TV battle
Frost predicts European standard win
By Tony Dennis: Monday 13 March 2006, 14:02
http://www.theinquirer.net/?article=30257
A DIGITAL TV standard, DVB-H, will win out over rival technologies predicts a new report from Frost & Sullivan. "Even if it (DVB-H) is a few years down in line,” explains Frost & Sullivan ICT industry analyst, Pranab Mookken.
One of DVB-H's supposed advantages is its ability to backward integrate with its fixed terrestrial counterpart digital video broadcast-terrestrial (DVB-T), says Frost & Sullivan. The report does predict, however, that it will take until 2010 at least for the technology to cover most of Europe.
In the meantime, "broadcasters and operators may consider the use of DAB-IP and T-DMB delivery mechanisms for the interim period before the introduction of DVB-H," Mookken suggests. "Also, successful trials over DAB-IP and a readily available mobile TV packaged product from BT Movio could tempt operators to experiment with these alternatives."
In effect, the report is pretty dismissive of rival technologies like satellite-DMB (S-DMB) and terrestrial-digital media broadcast (T-DMB).It also doesn't think Qualcomm's MediaFLO will get very far.
But what about using another standard – TDtv? See Another standard for mobile TV emerges. The INQ's not convinced that operators will pay governments for the additional spectrum that DVB-H requires in the UHF band. Not after being stung so badly by 3G. And with TDtv, most operators already own the relevant spectrum.
The jury's still definitely out on this one. µ
L'INQ
Frost & Sullivan
China tests its own 3G technology
But an intellectual property spat looms
Simon Burns in Taipei, vnunet.com 13 Mar 2006
http://www.vnunet.com/vnunet/news/2151786/asia-news-wrap-130306
China will soon start tests of its own 3G technology, government-linked sources in the country reported today. Completion of the tests is seen within the industry as a prerequisite for the start of 3G services in China.
A Chinese mobile service provider also plans to test the nation's home-grown TD-SCDMA technology in the semi-autonomous Chinese city of Hong Kong.
The test will be partially funded by the Hong Kong government, and in cooperation with local companies, the Beijing Morning Post reported, according to Pacific Epoch.
However, with stronger intellectual property rights protection than mainland China, Hong Kong is a potential battleground for challenges to China's TD-SCDMA from foreign CDMA patent holders like Qualcomm.
Recent reports confirm that Qualcomm is aleady issuing licences and accepting royalty payments for TD-SCDMA implementations elsewhere.
"If TD-SCDMA is commercially deployed, licences to Qualcomm patents will be required since our patents are essential to the TD-SCDMA standard," Qualcomm president, Steve Altman, warned in an analyst meeting last year.
Separately from the proposed Hong Kong test, three cities around China have been chosen as locations for test networks by the government, said a report from the semi-official Xinhua News Agency, citing unidentified sources close to the Ministry of Information Industry.
As reported by vnunet.com, China's homegrown 3G technology, TD-SCDMA, is not expected to be ready for commercial service before the end of this year.
Some local service providers have expressed reluctance to use the locally developed standard, saying they prefer the older foreign-developed W-CDMA and CDMA2000 technologies.
One Eye on the Fed, and the Other on Your Portfolio
Published Sunday, March 12, 2006
By CONRAD DE AENLLE
New York Times
http://www.theledger.com/apps/pbcs.dll/article?AID=/20060312/ZNYT01/603120429/1001/BUSINESS
LIKE a crazed doomsayer who keeps changing the date on his poster foretelling the end of the world, economists have been saying since last summer that the Federal Reserve is about to stop raising interest rates. They will be correct eventually, so how should investors in the stock market prepare for the event?
When interest rates top out, the stock market typically rallies in gratitude that credit conditions will become no worse, investment advisers note. But uncertainty about when the current tightening cycle will end, and concern that a rate peak will also herald slower growth in the economy and corporate earnings, leave much difference of opinion about what portfolio adjustments to make and when to make them.
In times when there is less growth to go around, investors look for businesses that can sustain earnings momentum. The most common places to find them are in stable-growth sectors like health care and consumer staples, or in industries (like some in technology) that are experiencing long-term upward trends that should leave them largely immune from economic swings.
Whatever investors decide to buy, they must also decide when to pull the trigger. Before taking significant steps, some fund managers say that they are waiting for confirmation that the Fed has raised rates for the last time in this cycle. Others have already started their moves, including Walter T. McCormick, head of the value equity management group at Evergreen Investments.
"We're not perfectly clear on when they're going to stop," Mr. McCormick said. "What makes me hesitate in terms of saying the Fed is about to finish is there are signs that the economy is strong. As long as growth is strong, the Fed will have to be vigilant."
Nevertheless, he said, "we know we're getting near the end," and he is already in the midst of his portfolio rearrangement.
By contrast, Henry J. Herrmann, chief executive of Waddell & Reed, the asset management firm, is prepared to wait for concrete indications that the rate cycle has peaked. He said he was putting off making significant adjustments to his holdings.
"We're not, because I don't know when the Fed's going to stop tightening," he said. He agreed, though, with Mr. McCormick that "the economy is stronger than many people think."
The central bank, he said, "is likely to pause, not stop," thereby faking out the markets. "Maybe nine months from now it will be a different story," he said, "but making big portfolio bets on the idea that the Fed's stopping is misplaced."
Fund managers of a more sporting disposition must wager first on whether the Fed will be shown to have raised interest rates by just the right amount or by too much. In the first case, the end of tightening "is potentially a catalyst for the market to start to move considerably higher," said Russ Koesterich, senior portfolio manager at Barclays Global Investors.
The right bet, then, is "to position yourself to take on a little more risk with a rotation back into higher-beta names," or stocks that move in the same direction as the market but with more volatility, he said.
Mr. Koesterich says that such stocks tend to be found in technology industries, especially those like communication equipment that depend on strong corporate buying, and in sectors involved in building industrial machinery and infrastructure. Financial stocks should also benefit, he said, noting that they have been resilient in recent months as investors try to anticipate the final rate increase.
He stressed that the selection of these sectors is based on the assumptions that "we get a soft landing, with core inflation under control and a continuation of the economic expansion," and that the Fed has not made one rate increase too many.
Those are assumptions he is willing to make. "So far," he said, "there aren't really any signs of an imminent collapse of the economy that would suggest that the expansion won't continue in the intermediate term."
Mr. McCormick, at Evergreen, likes several sectors that Mr. Koesterich mentioned, and he is concentrating on larger companies within them. A downshift in economic growth will have a comparatively sharp impact on smaller companies, he said.
"Large-capitalization growth stocks would appear to be relatively attractive," he said. "They will only begin to outperform significantly when the slowdown in growth in the below-large-cap sectors begins to pinch, but then the market will pay more attention to large caps."
Mr. McCormick is paying particular attention to large technology stocks. That is where he has been focusing his post-tightening investments. Two recent additions to Evergreen's portfolios are Cisco Systems and Qualcomm.
Cisco, the big supplier of technology infrastructure, is "beginning to click on an increasing number of cylinders," he said, and Qualcomm offers a chance to benefit from growth in the mobile phone industry, a business in the "sweet spot" of its cycle.
Qualcomm makes a component used in many handsets that eases the signal transfer from one tower to the next when a caller is on the move. The 4 percent royalty that Qualcomm receives on each handset sold with the device makes the stock especially appealing, Mr. McCormick said.
Qualcomm is one of many tech stocks held by Robert E. Turner, manager of the Turner Core Growth fund. He views the semiconductor and telecom equipment industries as particularly good vehicles for profiting from an end to Fed rate increases.
His selections in the first group include Marvell Technology and Broadcom, which he described as his "two biggest overweights," as well as Advanced Micro Devices and Micron Technology. Two that he says he does not hold are Intel and Texas Instruments.
"Semiconductor demand is extremely strong," he said, because of the proliferation of iPods, BlackBerries and other high-tech consumer gear; meanwhile, he said, "tech capacity has not really ramped up much."
The appeal of telecom equipment makers lies in the prospect of more spending by businesses. His holdings in this area include Alcatel, Tellabs, JDS Uniphase and PMC-Sierra.
A THIRD sector he favors is biotechnology. He called Genentech and Genzyme "quintessential growth companies whose earnings should grow, even if the economy slows down."
Rick Drake, co-manager of the ABN Amro Growth fund, likes one biotech stock, Amgen, for its "tremendous product pipeline," but other post-tightening picks are concentrated in financial services and such stable-growth sectors as retailing and health care.
"In the economic environment we're in," Mr. Drake said, "we think investors will look more at consistent-type growth companies" when the Fed stops. He added that "they benefit from a good economy, but they do not need a real strong economy to do well."
Mr. Drake's picks include Fifth Third Bancorp, the Kohl's chain of department stores and St. Jude Medical and Medtronic, makers of medical equipment.
He said he would avoid businesses that depend on continued increases in commodity prices. These have been "driving the economy for the last couple of years," he said. "There's not much money left to be made in the commodity or energy sector."
Mr. Hermann, at Waddell & Reed, would appreciate Mr. Drake's wariness. The conventional view is that the sooner the Fed stops tightening, the better, but Mr. Hermann warned that there was such a thing as too soon. "If the Fed stopped now, people would be surprised and the reaction might be, 'Oh, my goodness, things are weaker than we thought,' " he said. "Probably in that case defensive stocks high-dividend payers, stable, large-cap companies would outperform."
Chinese IPTV Carriers Facing Patent Fees
http://www.tmcnet.com/usubmit/2006/03/10/1446614.htm
(Comtex Business Via Thomson Dialog NewsEdge)BEIJING, Mar 10, 2006 (SinoCast China IT Watch via COMTEX) --While the two lineups of radio & TV and telecom carriers are quarreling with each other about which audio video coding standard should be selected, it is said that they will be charged huge patent fees, no matter which one they choose.
A report from China Academy of Telecommunications Research of Ministry of Information Industry (CATR for short) pointed out that MPEG-4 and H.264, the two IPTV (Internet Protocol Television) standards favored by Chinese carriers radio & TV operators and telecom carriers, will be no longer free of charge for their usage. Foreign owners of the two standards will levy patent fees not only from equipment and terminal manufacturers, but from carriers as well.
Previously, telecom carriers have never been charged patent fees for any businesses. Even Qualcomm, which is considered the "overlord of patent fee" by some manufacturers, have never collected fees from carriers but flattered them. However, the report released by CATR said that carriers were required to pay not only the patent fee for the usage of MPEG-4, but also fee for the broadcasting of programs each time; With regard to H.264, apart from the two fees above, carriers will be charged even for the copy of discs.
In addition, the patent fee is not paid once for all but every year, and is increasing with the rise of the nubmer of users. The upper limit for Chinese carriers is estimated at USD 300,000 every year.
Except for carriers, equipment makers have to pay fees for each coder/decoder and PC software manufactured and sold. Moving Picture Experts Group stipulates that manufacturers will be allowed not to pay in accordance with their production volume unless their payments have amounted to USD 3 million in a year accumulatively. And the upper limit for H.264 is USD 3.5 million.
The announcement of levying MPEG-4 and H.264 patent fees from carriers was made as late as November last year, and the time annoyed some people.
Beginning from the year before last, China Telecom and China Netcom, the two largest fixed-line carriers in China, started to brew the creation of IPTV test networks, and released numbers based on MPEG-4 or H.264 standards in nearly 20 cities of five provinces. Since owners of the two standards had never made it clear that they would levy patent fees, the two carriers have given publicity to IPTV service in a big way. An expert with CATR noted that the announcement of collecting patent fees at the critical time was equal to looting a burning house. This is extremely similar to what happened in the DVD (Digital Video Disc) industry.
However, the expert also remarked that China Telecom and China Netcom were just about to build test networks, and had not decided to choose which IPTV standard. Even they choose one of the two foreign standards for their networks, they still have to adopt an industrial standard in the formal commercial networks. In view of this, the state is considering adopting an independently developed one as the industrial standard to avoid patent fee, such as AVS, the expert disclosed.
From Beijing News, Page 1, Thursday, March 09, 2006
info@SinoCast.com
MEDIAFLO MAY BE BETTER, BUT WE'LL STICK WITH DVB-H, T-MOBILE DATA CHIEF SAYS
http://www.mobileeurope.co.uk/news/news_story.ehtml?o=1987
Ingo Schneider, vp mobile data at T-Mobile, has admitted to Mobile Europe that Qualcomm's digital mobile broadcast technology MediaFLO may be better technically than DVB-H, but has reiterated that his company is happy with the performance and number of channels on DVB-H, and will stick with it.
Speaking to Mobile Europe after the launch announcement of MTV services on the operator's network, Schneider said "we need to embrace broadcast technologies and we prefer DVB-H."
Schneider said he was happy with DVB-H because it can offer "20 channels on one frequency resource, compared with DMB which has two or three channels."
"Customers have also been really impressed by the capability," he said.
However, there was an implicit agreement that MediaFLO is technically superior, due to it being later off the blocks.
"MediaFLO started later," he said, "and when you start later and know more, and they built on much of the DVB-H developments, you end up with a better product. So they are starting to think about it in the USA but I think that DVB-H has a good future in Europe."
This is a Big Joke!
http://www.newratings.com/analyst_news/article_1223927.html
Qualcomm "sector perform," estimates raised
Thursday, March 09, 2006 1:14:37 AM ET
RBC Capital Markets
NEW YORK, March 9 (newratings.com) - Analyst Apjit Walia of RBC Capital Markets reiterates his "sector perform" rating on Qualcomm (QCOM.NAS), while raising his estimates for the company. The target price is set to $36.
In a research note published yesterday, the analyst mentions that the company has raised its revenue and pro-forma EPS guidance for the March quarter from $1.63-$1.73 billion to $1.75-$1.82 billion and from $0.35-$0.37 to $0.40-$0.41. The upside reflects higher-than-expected WCDMA licensee handset shipments in Europe, CDMA shipments in North America and India and volumes for low end voice-centric and high-end EV-DO products. The EPS estimate for FY06 has been raised from $1.47 to $1.54.
There is always FUDS, When QCOM is moving Up in price. Please see BS from MS below:
Qualcomm May Hit Earnings Speed Bump In 2007
Tom Van Riper, 03.08.06, 11:22 AM ET
http://www.forbes.com/2006/03/08/qualcomm-earnings-0308markets08.html?partner=yahootix
Qualcomm's sales and profits are up, but at what prices?
Shares of San Diego-based Qualcomm (nasdaq: QCOM - news - people ) were up Wednesday after the company raised its quarterly profit guidance to a range of 40 cents to 41 cents per share, from a previous range of 35 cents to 37 cents. The company, which also boosted its quarterly dividend 33%, cited higher-than-expected shipments of its wireless communication handsets during the December quarter. Qualcomm realizes handset sales over a one-quarter lag.
But Morgan Stanley tech analyst Louis Gerhardy isn't confident the good news will last. While he followed a number of other analysts in raising his 2006 outlook for Qualcomm by three cents per share, he also cut his 2007 projection by two cents, to $1.76 per share. That's because he sees evidence of inventory buildups and price softening that could leave sales revenue flat by next year.
"Chipset average selling prices appear to be coming in below our estimate as the company pushes into the very low end of the market," Gerhardy said in a research note.
The analyst said he's unconvinced that the products carry a high "price elasticity," meaning that lower prices don't necessarily spike more customer demand. A check of the sales channels, he said, suggest that inventory levels are inching higher.
Morgan Stanley has an "equal-weight" rating on Qualcomm. The research firm also has "equal-weight" ratings on Cypress Semiconductor (nyse: CY - news - people ), Maxim Integrated Products (nasdaq: MXIM - news - people ), Conexant Systems (nasdaq: CNXT - news - people ) and Intersil (nasdaq: ISIL - news - people ).
FUDs From MS, Please see below:
Analyst Responses to Qualcomm’s Upward Revision (QCOM)
Related Stocks: QCOM
http://wirelessstockblog.com/article/7509
Qualcomm increased its guidance for Q2 2006. From the company’s press release:
Based on the current business outlook, we now anticipate second fiscal quarter revenues for Qualcomm pro forma to be approximately $1.75 to $1.82 billion. We now anticipate second fiscal quarter Qualcomm pro forma diluted earnings per share to be approximately $0.40 to $0.41, compared to $0.29 in the year ago quarter.
This estimate is based on the shipment of approximately 47-48 million Mobile Station Modem (MSM) chips during the quarter compared to approximately 37 million in the year ago quarter and approximately 47 million in the prior quarter. We previously anticipated second fiscal quarter Qualcomm pro forma revenues of $1.63 to $1.73 billion, Qualcomm pro forma diluted earnings per share of approximately $0.35 to $0.37 and estimated shipments of approximately 44 to 46 million MSM chips.
Wall Street’s reception to the news was overall upbeat:
T. Michael Walkley, Piper Jaffray: “With more than 1.7 billion GSM subscribers potentially on a migration path to CDMA-based technologies over the next decade, we believe Qualcomm should post strong long-term earnings growth relative to our coverage universe.” Walkley increased his price target from $53 to $55, maintaining his ‘Outperform’ rating on the stock.
Tim Luke, Lehman Brothers: “While investors had viewed prior gudiance as conservative and had expected the CDMA innovator to update its guidance, we believe this update comes in ahead of both our and Street expectations. We continue to expect ongoing upside to our estimates as we move thru 2006. Luke reiterated his ‘Overweight’ rating on the stock and his $52 price target.
Brian Modoff, Deutsche Bank North America:“We think overall demand remains strong. We’re forecasting 17-percent growth for wireless handset sales, and we continue to believe that’s going to be the case.”
Inder M. Singh, Prudential: In a note to clients Singh wrote that QCOM is well positioned to benefit from 3G, and does not expect major impact this year from pending litigation with the European Commission. Singh maintained his ‘Overweight’ rating on the stock, with a target price of $57.
Ehud Gelblum, J.P. Morgan (in TheStreet.com): Increased phone sales translate to approximately $66 million in additional revenue to be booked in the current quarter. “Gelblum estimates the upside will contribute about $50 million more to second-quarter top line, based on an average selling price of $20 a chip.” Gelblum maintained his buy rating on the stock.
Mobile TV exec: current broadcast model is a 'dead end'
David Benjamin
EE Times
(03/01/2006 12:57 PM EST)
http://www.eetimes.com/news/latest/showArticle.jhtml?articleID=181401747
DUBLIN, Ireland — Mobile TV, still in its infancy, will grow in three years into a $3 billion market, heavily concentrated among young consumers who will forsake broadcasters' tailored content on mobile phones and other devices, Michael Schueppert, president of Modeo, told the DVB World Forum on Wednesday (March 1). Among Schuppert’s top ten predictions for mobile TV was his declaration that mobile phones, now seen as the overwhelming focus of mobile broadcast developers, will serve only half the market. Fifty percent of consumers in this market, he said, will prefer "a much broader range of devices than just cellphones."
Perhaps Schueppert’s safest forecast was that the biggest battles over mobile TV in the next three years won’t be over competing technologies, but will instead pit broadcast content owners against the wireless carriers who own the mobile customer base. "There is a chance that peace will break out. We’ve tried," said Schueppert. "But I think it’s more likely to be a fight than a harmonious relationship."
Among Schueppert’s other predictions were the emergence of peaceful coexistence in standard and proprietary mobile TV broadcast specs and media codecs.
Schueppert noted that both DVB-H and Qualcomm-developed MediFLO will succeed, but the Digital Audio Broadcast (DAB)-based mobile TV broadcast standard will be a "dead end."
He also predicted that two competing media codecs—Microsoft Corp.’s Windows Media Audio/Video formats and H.264/aacPlus—won’t be harmonized. He said, "It is technically, politically and commercially impossible to harmonize these formats, [but] it really isn’t worth trying."
Schueppert also stressed the growth of podcasting as a major medium for mobile television. To do this, devices will require implementation of file delivery protocols, the inclusion of at least a gigabit of memory or an SD card slot and the ability to receive two services simultaneously.
Schueppert's top ten list for mobile TV developments follows:
1) Although DVB-Handheld, or DVB-H, will triumph internationally as the dominant mobile broadcast standard, Qualcomm's MediaFLO spec will also succeed. Other competing standards, including DAB "will fail" for lack of industry support.
2) Modeo’s prescient use of L-band spectrum will be imitated by more operators in Europe and Asia, partly because UHF spectrum is so heavily overburdened. There is also a growing trend among semiconductor makers to develop chips that also support L-band broadcast.
Mobile TV predictions
3) Mobile broadcasts will end up with two media formats, the proprietary Windows Media Format from Microsoft and the open-standard H.264. Both will have to be supported by device manufacturers.
4) The current plethora of electronic service guides, in competing formats, will experience a drastic shakeout. This “unnecessary” array of program guides confuses the market. They must be “harmonized” or eliminated by the end of this year.
5) Podcasting will become a key part of the mobile TV experience, and it will eventually be supported by all devices.
6) Although mobile TV promises to be a windfall for the mobile phone market, there are millions of cellphone users who just want to talk. That means 50 percent of mobile TV consumers will be using other devices, and these must be ready to receive video content.
7) Voting via "live" contact with a broadcast program, will be the most powerful interactive feature on mobile TV.
8) The youth market (ages 18-35) will be the grand prize—and virtually the only prize—for mobile TV.
9) By 2009, every major TV broadcast channel will launch mobile-specific versions of their programming, designed for viewers who prefer to watch TV in short clips.
10) Finally, Schueppert foresaw the already brewing clash between content owners and wireless carriers. He said this "fight" will be partly settled by the upcoming international spectrum auctions, so that the industry can focus on spreading mobile TV technology broadly among consumers and their devices.
—Junko Yoshida in Dublin contributed to the article.
3G LTE Radical Plan
http://www.3g.co.uk/PR/March2006/2709.htm
1st March , 2006
Europe Germany : The European Telecommunications Standards Institute (ETSI) is working on a radical plan to restrict Intellectual Property Rights for patents essential to all components of the next version of the 3GPP-based radio standard - Long-Term Evolution (LTE).
The plan - being driven by mobile operators - is designed to get all relevant patent-holders to sign up to a pre-agreed cumulative cap of approximately 5% for royalties on the cost of all LTE equipment.
ETSI is also considering an ex ante approach to declaring relevant patents, which is designed to eliminate the possibility of any new royalty claims pertaining to LTE equipment being lodged in the future, a situation which has escalated the actual cost of buying and licensing technology for existing WCDMA equipment.
"ETSI is now acting to address the current situation in which IPRs are widely seen as being unfair, unreasonable and discriminatory," says Gavin Patterson (inset), Principal Analyst at Informa Telecoms & Media. "By adopting either an ex ante approach, capping royalties or both of these proposals, we will see a more clearly defined cost structure for those buying and licensing LTE technology in the future," he says.
LTE will be based on many elements that will be included in Release 7 of the 3GPP standard, primarily OFDM and MIMO, although CDMA technology will be removed from Radio Layer 1 of LTE. Draft specs for Rel. 7 are due to be frozen in June this year.
"It is unlikely all vendors will agree to IPR capping," says Patterson. "Nevertheless, by removing CDMA from the LTE standard it also removes perhaps the most vocal opponent to royalty capping and proportionality - Qualcomm."
At the end of last year, Ericsson, Nokia, Texas Instruments, Broadcom, NEC and Panasonic each filed separate complaints with the European Commission requesting that it "investigate and stop Qualcomm's anticompetitive conduct" in the licensing of essential patents for WCDMA technology.
None of the complainants doubts that Qualcomm owns essential IPRs to the WCDMA standard, but they claim it has not contributed as much to that standard as it did to the development of CDMA and cdma2000 and, therefore, should not charge the same royalty rates for WCDMA as it does for CDMA and cdma2000.
The EC is expected to publish an initial decision on the complaints within the next few weeks, and is widely expected to order a more detailed investigation, which could take a few years to complete.
With some 40 companies already believed to be holding essential WCDMA IPRs, the industry push toward multiple radio-access technologies and multimode handsets could see the number of essential IPRs skyrocket. "Estimates for cumulative royalties for WCDMA are between 25% to 30% and the mobile industry could spend US$80-100 billion on WCDMA-IP-royalty payments up to 2017," says Patterson.
It is against this backdrop that operators within ETSI have accelerated discussions on IPR so that agreement is reached before an LTE workplan is created by 3GPP and are prepared to delay finalisation of standards until IPR is solved.
The Third Generation Partnership Program (3GPP) hopes to complete initial studies and have a workplan created for LTE in time for the TSG plenary meetings in June this year, although this may be delayed until September, with relevant specifications to be developed by June 2007 and the standard hopefully frozen by end-07.
Gavin Patterson is a Principal Analyst at Informa Telecoms & Media and has been closely following developments across the mobile industry since 1997. Gavin has built up a wealth of experience covering everything from the development of regional markets and operator strategies to the evolution of data networks and fixed/mobile convergence.
QUALCOMM's BREW Is Indian Developer's First Choice
EFY News Network
(Tuesday, February 21, 2006 5:01:12 PM)
http://www.efytimes.com/fullnews.asp?edid=10331
Indiagames Ltd., eMbience Inc. and Phoneytunes.com have announced the launch of new applications, developed for QUALCOMM’s BREW solution at Globalcomm 2006.
Tuesday, February 21, 2006: New Delhi: Indiagames Ltd. has introduced the 2006 calendar application hosted on its Indiagames server and can be downloaded by consumers on their mobile device. This application will enable users to set reminders, appointments and alerts for important dates and events from their mobile device. Users will also have the option of saving the calendar as a wallpaper or screen saver – making their personal data accessible at the touch of a button. Details such as memos, events and occasions can also be set to a particular date.
The wallpaper and ringtone application comes with an exciting new feature that enables consumers to preview the wallpaper and ringtone prior to making a purchase, thus resulting in a more positive experience for the end user. With the introduction of these two applications at Globalcomm 2006, Indiagames continues to strengthen its commitment in the mobile applications development space beyond mobile games.
eMbience Inc. has brought to its users, Masttones -- an exciting music application that features the latest in the music industry, allowing customers to preview as many tones as they like on masttones.com or directly on their mobile devices. The service includes a comprehensive collection of South Asian ringtones, trutones, complete music downloads, videos and animations. From Bhangra beats to Bollywood numbers, Masttones enables consumers to truly customise their mobile phone to their personality.
The MastPix application offers an exciting selection of contemporary images from South Asia and the Middle East, presenting users with a means to display exciting images of their culture on their mobile device. Images include Bollywood stars, popular bands, spiritual images and national sport heroes and icons.
Whether it be preparing a classic cocktail or creating an original concoction, eMbience Inc.’s Drinknation application offers a delightful collection of over six thousand cocktail recipes at the touch of a wireless user’s fingertips. Users can search for recipes by name, ingredients or even a theme. Additional features include a save feature for favorite recipes, exciting bar games and new cocktail menus every month.
The third in the trio, Phoneytunes.com's new astrology package is comprised of daily, weekly, monthly and annual predictions focused on various aspects of life including romance, business and health, uniquely bringing the ancient Indian power of astrology to mobile users at the touch of a button. The application will also consist of compatibility charts based on astrological signs, I-Ching services, tarot card readings and fortune telling – all resulting in a truly compelling experience for the end user.
Phoneytunes’ second new application will allow users to customise memories, adding an element of fun to photography with its image morphing application. This will allow users to take any image, including any camera phone photo, and morph it with color effects, shades or distortions. An extension within this application will also allow users to morph two pictures together – creating a single image. These images can then be used for multimedia text messaging and customisation of a user’s mobile phone.
Phoneytunes’ latest ringtone application will leverage the power of the mobile device’s internal processor to morph an existing polyphonic tune to a user selected beat and the tempo to create a truly customised tune. This newest offering to the ringtone market promises to further fulfill end users’ expectations in customising their mobile phones with unique applications that reflect their personalities.
Patent Infringement Trial Against Qualcomm Commences in the International Trade Commission
Wednesday February 15, 8:00 am ET
Commission to Determine Whether to Preclude Qualcomm from Importing RF & Baseband Cellular Products that Infringe Broadcom Patents
http://biz.yahoo.com/prnews/060215/nyw065.html?.v=41
WASHINGTON, D.C., Feb. 15 /PRNewswire-FirstCall/ -- Broadcom Corporation (Nasdaq: BRCM - News), a global leader in semiconductors for wired and wireless communications, announced the commencement today of the United States International Trade Commission (ITC) hearing regarding the alleged infringement of three Broadcom patents by Qualcomm Incorporated (Nasdaq: QCOM - News). Qualcomm products accused of infringing the Broadcom patents include baseband processor chips and transmitter/receiver (radio) chips and power control chips that comprise Qualcomm's core suite of multimedia, enhanced and convergence handset platforms.
The hearing, conducted before ITC Administrative Law Judge Charles E. Bullock, will determine whether Qualcomm has engaged in unfair trade practices by importing into the U.S. chips and chipsets that infringe one or more of the Broadcom patents.
Broadcom is seeking a permanent exclusion order that would bar the importation into the United States of infringing Qualcomm chips, as well as products, such as third party cellular handsets, that incorporate Qualcomm's infringing chips. Broadcom is also requesting a cease and desist order barring further sales of infringing products that have already been imported into the United States by Qualcomm.
The remedy phase of the ITC proceeding will be heard by Judge Bullock in July 2006, with the corresponding target date for completion of the ITC investigation set for December 2006. The ITC action is the first of several patent disputes between Broadcom and Qualcomm to go to trial. In February 2007 the U.S. District Court in Santa Ana, California is scheduled to try Broadcom's claims of alleged infringement of five additional Broadcom patents by Qualcomm. Additionally, Qualcomm and Broadcom have other, later-filed patent disputes pending in U.S. District Court in San Diego, California. Following conclusion of the ITC proceedings, Broadcom will also litigate in the Santa Ana District Court the three patents that are the subject of the current ITC hearing.
In total and to date, Broadcom has alleged that Qualcomm's baseband, RF and power management products infringe 18 different Broadcom patents. Broadcom currently has over 1,250 issued U.S. patents and over 3,600 patent applications pending.
Separately, Broadcom has filed an antitrust suit against Qualcomm that is pending in U.S. District Court in Trenton, New Jersey, and has joined five other mobile wireless technology companies in filing complaints in the European Commission alleging that Qualcomm has engaged in anticompetitive conduct in the licensing of its patents and the sale of its chipsets for mobile wireless devices and systems. The six companies allege that Qualcomm is violating EU competition law and failing to meet the commitments it made to international standard bodies to license its technology on fair, reasonable and non-discriminatory terms.
About Broadcom
Broadcom Corporation is a global leader in semiconductors for wired and wireless communications. Our products enable the delivery of voice, video, data and multimedia to and throughout the home, the office and the mobile environment. Broadcom provides the industry's broadest portfolio of state-of- the-art system-on-a-chip and software solutions to manufacturers of computing and networking equipment, digital entertainment and broadband access products, and mobile devices. These solutions support our core mission: Connecting everything®.
Broadcom, one of the world's largest fabless semiconductor companies with annual revenue of more than $2.5 billion, is headquartered in Irvine, Calif., and has offices and research facilities in North America, Asia and Europe. Broadcom may be contacted at 1-949-450-8700 or at http://www.broadcom.com .
Safe Harbor Statement under the Private Securities Litigation Reform Act
of 1995:
All statements included or incorporated by reference in this release, other than statements or characterizations of historical fact, are forward- looking statements. These forward-looking statements are based on our current expectations, estimates and projections about our industry and business, management's beliefs, and certain assumptions made by us, all of which are subject to change. Forward-looking statements can often be identified by words such as "anticipates," "expects," "intends," "plans," "predicts," "believes," "seeks," "estimates," "may," "will," "should," "would," "could," "potential," "continue," "ongoing," similar expressions, and variations or negatives of these words. These forward-looking statements are not guarantees of future results and are subject to risks, uncertainties and assumptions that could cause our actual results to differ materially and adversely from those expressed in any forward-looking statement.
Important factors that may cause such a difference for Broadcom include, but are not limited to, our ability to prevail in the federal lawsuits and United States International Trade Commission proceeding against Qualcomm; the ability of our patents to protect our intellectual property; our ability to enforce our intellectual property rights; and the risks associated with litigation in general, including the costs and time that must be devoted to litigation, the potential diversion of management's attention that may result from being engaged in litigation, and the possibility of adverse results. Our Annual Report on Form 10-K, subsequent Quarterly Reports on Form 10-Q, recent Current Reports on Form 8-K, and other Securities and Exchange Commission filings discuss the foregoing risks as well as other important risk factors that could contribute to such differences or otherwise affect our business, results of operations and financial condition. The forward-looking statements in this release speak only as of this date. We undertake no obligation to revise or update publicly any forward-looking statement for any reason.
Broadcom Business Press Contact
Bill Blanning
Vice President, Public Relations
949-926-5555
blanning@broadcom.com
Broadcom Financial Analyst Contact
T. Peter Andrew
Vice President, Investor Relations
949-926-5663
pandrew@broadcom.com
--------------------------------------------------------------------------------
Source: Broadcom Corporation; BRCM Corporate
They're at it again: High-speed battle of the mobile networks
By Kevin J. O'Brien International Herald Tribune
SUNDAY, FEBRUARY 12, 2006
http://www.iht.com/articles/2006/02/12/technology/btgsm.php
BERLIN Europe's GSM mobile standard, used today on 91 percent of all traditional digital phone networks, outsold a rival called CDMA, which the U.S. companies Qualcomm and Motorola developed to try to dominate the industry's pioneer era.
But as mobile network operators pay billions of euros to roll out faster so-called third-generation networks, a new standards battle is emerging, experts say, one that pits some of the same old opponents in a new constellation of interests.
This time, the competition is not as clear-cut as the Europe-vs.-U.S., GSM-vs.-CDMA conflict of the 1980s and early 1990s. While the rivalry is still between the third-generation successors to GSM and to CDMA, the commercial interests behind both have blurred and overlapped as manufacturers hedge their bets.
For example, Qualcomm, the San Diego-based company that makes chips for networks and handsets using CDMA 2000, the high-speed version of its old CDMA standard, is also a major developer and supplier to its competitor, the GSM third-generation standard called WCDMA, or Wideband CDMA. According to the European Technology Standards Institute, an industry standards group, Qualcomm holds 1,600 patents for WCDMA technology, many of them considered essential.
"The debate over standards is becoming increasingly moot over time," said Jeff Belk, Qualcomm's senior vice president for marketing, who said he was planning to attend the 3GSM World Congress in Barcelona that begins on Monday. "There are too many three-letter acronyms being thrown at the consumer," he said. "They don't really care."
Like Qualcomm, early GSM developers such as Nokia and Ericsson make handsets and networks for both WCDMA and CDMA 2000 standards, although Ericsson is ending its CDMA production and focusing on WCDMA, for which it holds 250 patents. Nokia, with about 1,460 GSM patents, belongs to CDMA's marketing association, the CDMA Development Group, based in Costa Mesa, California.
"Nowadays, the commercial interests behind the competing mobile phone standards are much more intermingled," said Martin Gutberlet, a director at Gartner, an industry research firm, in Düsseldorf. "GSM is the world standard in second-generation networks. But its success was a one-time event. I don't think any standard will ever achieve the same level of dominance."
Although GSM, named from the 1982 European initiative among national phone monopolies and suppliers called Groupe Speciale Mobile, won the first round in the digital standards war, CDMA, short for Code Division Multiple Access, has seized the lead in the third-generation race by taking advantage of technical problems that slowed the introduction of some WCDMA networks.
According to Wireless Intelligence, a London-based research group, CDMA-based high-speed networks currently have 249 million users, or an 80 percent share of the world's 3G market, compared with 61.8 million users and 20 percent for WCDMA, which is also referred to in Europe as UMTS, short for Universal Mobile Telecommunications System. Third-generation phone users now make up 13 percent of the world's more than two billion cellphone users, according to Wireless Intelligence.
"The world is very different when you are talking about third-generation networks," said Perry LaForge, executive director of the CDMA Development Group. "It's taken WCDMA way too long to get their products working on the market, and CDMA 2000 has emerged as a very significant standard."
For network operators, the consequences of betting on a standard can be costly.
The Japanese mobile operator KDDI switched on its CDMA 2000 high-speed network in April 2002. In three years, as of last July, KDDI had converted 94 percent of its 20.4 million customers to its newer, faster network.
By contrast, Vodafone, the world's largest mobile operator, installed a WCDMA network in Japan that was plagued by start-up problems and a shortage of compatible handsets. By last September, it had converted only 11 percent of its 14.6 million Japanese customers to its third-generation network, according to its latest financial report. Because Vodafone had so few people using the data services available on 3G, its average revenue per user in Japan fell 4.7 percent in the six months through September.
While phone users may not care whether their handsets or networks are WCDMA or CDMA 2000, manufacturers of the equipment certainly do. But because the patents for competing CDMA 2000 and WCDMA standards are shared by direct competitors, which lease them to each other at reasonable terms, most simply seek predictability, said Martin Garner, an analyst at the research firm Ovum. That lets them expand production and produce greater volumes more cheaply.
This is why Ericsson, the world's largest maker of mobile networks, decided last year to close its CDMA 2000 operations in San Diego, transferring its resources to its WCDMA production facilities in Sweden and Canada. The move allowed Ericsson to focus on WCDMA, and by November it seemed to have paid off when the Australian carrier Telstra decided to abandon its four-year-old CDMA 2000 network and spend more than $1 billion to refit it to the GSM successor WCDMA standard to cut costs and draw its equipment purchases from suppliers of a single standard.
"What happened in Australia shows how competitive the business is in 3G," said Peter Olson, vice president for strategy and product management mobile networks at Ericsson, which is supplying Australia's new WCDMA network.
"I think this could be the beginning of a trend where you will see WCDMA increasingly dominating new 3G orders."
That may be so in the short term, because most of the world's network operators run GSM networks, which can be upgraded to WCDMA for less than it costs to switch to CDMA 2000 technology.
But over time, LaForge of the CDMA Development Group said, many operators, especially those in rural areas, will opt for CDMA technology because its lower transmission frequency - typically 850 megahertz - provides better blanket coverage than WCDMA's high-frequency, 2.1-gigahertz broadcasting range.
And there is still a chance that Australia will not turn off its existing CDMA 2000 network, which cost the formerly state-owned Telstra more than $1 billion to build.
BERLIN Europe's GSM mobile standard, used today on 91 percent of all traditional digital phone networks, outsold a rival called CDMA, which the U.S. companies Qualcomm and Motorola developed to try to dominate the industry's pioneer era.
But as mobile network operators pay billions of euros to roll out faster so-called third-generation networks, a new standards battle is emerging, experts say, one that pits some of the same old opponents in a new constellation of interests.
This time, the competition is not as clear-cut as the Europe-vs.-U.S., GSM-vs.-CDMA conflict of the 1980s and early 1990s. While the rivalry is still between the third-generation successors to GSM and to CDMA, the commercial interests behind both have blurred and overlapped as manufacturers hedge their bets.
For example, Qualcomm, the San Diego-based company that makes chips for networks and handsets using CDMA 2000, the high-speed version of its old CDMA standard, is also a major developer and supplier to its competitor, the GSM third-generation standard called WCDMA, or Wideband CDMA. According to the European Technology Standards Institute, an industry standards group, Qualcomm holds 1,600 patents for WCDMA technology, many of them considered essential.
"The debate over standards is becoming increasingly moot over time," said Jeff Belk, Qualcomm's senior vice president for marketing, who said he was planning to attend the 3GSM World Congress in Barcelona that begins on Monday. "There are too many three-letter acronyms being thrown at the consumer," he said. "They don't really care."
Like Qualcomm, early GSM developers such as Nokia and Ericsson make handsets and networks for both WCDMA and CDMA 2000 standards, although Ericsson is ending its CDMA production and focusing on WCDMA, for which it holds 250 patents. Nokia, with about 1,460 GSM patents, belongs to CDMA's marketing association, the CDMA Development Group, based in Costa Mesa, California.
"Nowadays, the commercial interests behind the competing mobile phone standards are much more intermingled," said Martin Gutberlet, a director at Gartner, an industry research firm, in Düsseldorf. "GSM is the world standard in second-generation networks. But its success was a one-time event. I don't think any standard will ever achieve the same level of dominance."
Although GSM, named from the 1982 European initiative among national phone monopolies and suppliers called Groupe Speciale Mobile, won the first round in the digital standards war, CDMA, short for Code Division Multiple Access, has seized the lead in the third-generation race by taking advantage of technical problems that slowed the introduction of some WCDMA networks.
According to Wireless Intelligence, a London-based research group, CDMA-based high-speed networks currently have 249 million users, or an 80 percent share of the world's 3G market, compared with 61.8 million users and 20 percent for WCDMA, which is also referred to in Europe as UMTS, short for Universal Mobile Telecommunications System. Third-generation phone users now make up 13 percent of the world's more than two billion cellphone users, according to Wireless Intelligence.
"The world is very different when you are talking about third-generation networks," said Perry LaForge, executive director of the CDMA Development Group. "It's taken WCDMA way too long to get their products working on the market, and CDMA 2000 has emerged as a very significant standard."
For network operators, the consequences of betting on a standard can be costly.
The Japanese mobile operator KDDI switched on its CDMA 2000 high-speed network in April 2002. In three years, as of last July, KDDI had converted 94 percent of its 20.4 million customers to its newer, faster network.
By contrast, Vodafone, the world's largest mobile operator, installed a WCDMA network in Japan that was plagued by start-up problems and a shortage of compatible handsets. By last September, it had converted only 11 percent of its 14.6 million Japanese customers to its third-generation network, according to its latest financial report. Because Vodafone had so few people using the data services available on 3G, its average revenue per user in Japan fell 4.7 percent in the six months through September.
While phone users may not care whether their handsets or networks are WCDMA or CDMA 2000, manufacturers of the equipment certainly do. But because the patents for competing CDMA 2000 and WCDMA standards are shared by direct competitors, which lease them to each other at reasonable terms, most simply seek predictability, said Martin Garner, an analyst at the research firm Ovum. That lets them expand production and produce greater volumes more cheaply.
This is why Ericsson, the world's largest maker of mobile networks, decided last year to close its CDMA 2000 operations in San Diego, transferring its resources to its WCDMA production facilities in Sweden and Canada. The move allowed Ericsson to focus on WCDMA, and by November it seemed to have paid off when the Australian carrier Telstra decided to abandon its four-year-old CDMA 2000 network and spend more than $1 billion to refit it to the GSM successor WCDMA standard to cut costs and draw its equipment purchases from suppliers of a single standard.
"What happened in Australia shows how competitive the business is in 3G," said Peter Olson, vice president for strategy and product management mobile networks at Ericsson, which is supplying Australia's new WCDMA network.
"I think this could be the beginning of a trend where you will see WCDMA increasingly dominating new 3G orders."
That may be so in the short term, because most of the world's network operators run GSM networks, which can be upgraded to WCDMA for less than it costs to switch to CDMA 2000 technology.
But over time, LaForge of the CDMA Development Group said, many operators, especially those in rural areas, will opt for CDMA technology because its lower transmission frequency - typically 850 megahertz - provides better blanket coverage than WCDMA's high-frequency, 2.1-gigahertz broadcasting range.
And there is still a chance that Australia will not turn off its existing CDMA 2000 network, which cost the formerly state-owned Telstra more than $1 billion to build