Qualcomm Inc (QCOM)

[khemara_qc]

Reliance Info, Qualcomm pact likely

March 31, 2004 19:39 IST


Reliance Infocomm Ltd is expected to enter into a technical collaboration with US-based Qualcomm Inc by August this year for usage of its CDMA-based evolution data optimised (EvDO) technology in the latter's telephony operations.

"We are in discussions and a final deal is expected to be signed by August or September," Reliance Infocomm sources said on Wednesday.

EvDO is a niche broadband technology, which enables connectivity of around two MB per second over wireless networks.

If the deal falls through, Reliance Infocomm would use the technology for its broadband initiatives in the country, they said, adding this would result in bypassing of other technologies.

The use of EvDO is also expected to help Reliance Infocomm, which uses CDMA 1x technology for its Wireless in Local Loop operations, migrate over to 3G technologies effortlessly, they added.

Code Division Multiple Access-1x is the first generation of technologies of the CDMA 2000 family and Qualcomm was expected to roll out CDMA 2x and 3x, the company is said to be restraining from it as part of its standardisation process.

Reliance Infocomm is also planning to set up call centers outside Mumbai and Chennai to meet its growing subscriber base, they said.

Even though, a final decision on this is yet to be taken, the company might set up call centres in eastern and northern parts of the country, they said.

http://www.rediff.com/money/2004/mar/31ril.htm