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Strategies & Market Trends : Gorilla and King Portfolio Candidates

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To: Mike Buckley who wrote (6746)	9/21/1999 9:02:00 AM
From: Eric L	Read Replies (1) of 54805

Mike, << Is there any reason ADI or a slew of companies aren't motivated to come up with a product that similarly enhances CDMA-based phones? >> Initially volume, I suspect. 5:1 Ratio of TDMA based handsets (TDMA & GSM) to CDMA handsets. However, I do however think that the ADI chipset has the potential to add value to a CDMA handset or at least a dual-mode, dual slot, multi-band GSM/CDMA handset. Such a product does not exist today and the CDMA community needs it, if it wants to penetrate Europe or countries where they have no presence. Tero has often discoursed that GSM/CDMA handsets will be difficult to manufacture: "And about those GSM-CDMA hybrids - it's very tricky to get a decent stand-by time out of a CDMA phone. This summer's new CDMA phones in USA still offer less than 100 hour stand-by times with standard batteries - while GSM broke the 200-hour barrier in February 1998. The miniaturization technology of CDMA phones isn't that hot, either - Motorola's leading GSM model is about half the size of their leading CDMA phone. The R&D expenditures in GSM manufacturing are way ahead of other digital standards - it's highly unlikely the technology gap will close any time soon." The ADI chipset combined with CDMA technology could make such a hybrid a practical reality. << Is there any reason ADI or a slew of companies aren't motivated to come up with a product that similarly enhances CDMA-based phones? >> (Being redundant) I see this as a real possibility given the spectacular growth of CDMA and needs that exist in a growing and changing market. - Eric -

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