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Taiwan makers may benefit from scrapping of Nokia and Sanyo CDMA JV

Daniel Shen, Taipei; Adam Hwang, DigiTimes.com [Monday 26 June 2006]

http://www.digitimes.com/telecom/a20060626A7039.html

Nokia and Japan-based Sanyo Electric on June 22 announced the cancellation of a plan proposed in mid-February to set up a joint venture to produce CDMA handsets. Nokia, in response to the change, has decided to reduce its CDMA investment, and this may bring more Nokia OEM/ODM orders to Taiwan-based makers of CDMA handsets, according to local industry sources.

Foxconn International Holdings (FIH), an existing Nokia supplier, has obtained orders for CDMA handsets from Nokia, the sources pointed out. VIA Technologies, a leading Taiwan-based chipset design house, has acquired CDMA solutions from LSI Logic and plans to team up with Darts, a handset design company in Taiwan, to compete for orders from Nokia, the sources indicated.

However, Taiwanese companies are faced with competition from China, the source noted. Nasdaq-listed handset solution provider China TechFaith Wireless Communication Technology, for example, has landed orders from Nokia through support from Qualcomm, the owner of most CDMA patents, the sources added.