Qualcomm Inc (QCOM)

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Taiwan handset makers express little optimism about 3G handset ODM orders

Max Wang, Taipei; Jessie Shen, DigiTimes.com [Monday 21 June 2004]


As the launch of 3G (third-generation) mobile communication services by global telecom carriers has begun, Taiwan-based handset makers are somewhat pessimistic about receiving ODM orders for 3G handsets in the near future, according to sources at the makers.

Irwin Chen, president of BenQ’s wireless business unit, said that Taiwanese makers will likely see ODM orders for 3G phones increase sometime in the next three years. Chen said that the makers should first seek out telecom providers and sell their products as part of a service package deal or conduct own-brand business sales if they want to enter the market earlier.

BenQ has begun manufacturing 3G handsets that use Qualcomm’s Mobile Station Modem (MSM) chipsets, according to a May 13 Qualcomm’s press release.

Alex Sun, assistant manager of Asustek Computer, also agreed that the ODM business in Taiwan will have a difficult time until services have been completely implemented. Due to a current lack of 3G technologies, makers in Taiwan are not likely to receive orders until the second half of next year, he predicted.

Asustek and UK-based TTPCom announced they would cooperate on the development of 3G phones on February 23.

High Tech Computer (HTC) started using Ericsson Mobile Platforms (EMP) to supply 3G mobile platform system solutions in the second half of last year, according a June 18 press release.

BenQ, Asustek and HTC will reportedly unveil their first 3G phones by the end of this year, according to sources at the makers.



http://www.digitimes.com/NewsShow/Article5.asp?datePublish=2004/06/21&pages=A1&seq=1