InterDigital Inc (IDCC)

[stockfisher]

08:22 Prudential increases their 2005 global handset estimate

Prudential increases their 2005 global handset estimate to 782 mln units from 711 mln units. Firm estimates that handset units will increase by 13% in 2005 and grow at a 5-yr CAGR of 9.1%, and believes that unit growth will be driven by a combination of continued solid subscriber growth and an increase in replacement handsets as a percentage of total units from 72% in 2004 to 87% in 2009. Firm says the timing and speed of WCDMA adoption could be a swing factor in their forecast. Firm believes they remain below Street ests for 2006 WCDMA shipments, and would not be surprised to see Street consensus numbers come down in the coming weeks.