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Technology Stocks : Nokia (NOK)
NOK 6.280+1.4%3:59 PM EST

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To: tero kuittinen who wrote (5574)6/14/2000 5:17:00 PM
From: Kent Rattey  Read Replies (1) of 34857
 
Tero,
Do you still feel this is the case, or are things changing?
Thanks,
Kent

Message 13701184

Kid me not, Carranza - are you not aware of what is happening in Australia and Hong Kong? Several operators in Asia have both IS-95 and GSM networks. And these operators are now starting to splurge on WAP, GPRS and W-CDMA investment. After these investments, there is very little money or incentive left to upgrade the IS-95 networks there. The Asian mobile infrastructure budgets are being built on GPRS/W-CDMA outlays right now.
These companies aren't rejecting cdma2000 out of hand. It's just sort of happening. I live in a universe where this gradual process is having a very real impact on the share prices of companies like Nokia and Motorola. If you don't understand the dynamics of the Asian infrastructure market, the share price divergence of Nok and Mot seems extreme and overdone. It's only in the GPRS/W-CDMA network sales context that the situation makes sense.
Tero

Hutchison throws weight behind 2.5G
CDMA
By Reuters staff
14 June 2000
Hutchison Telecom said on Wednesday it is investing HK$500 million in so-called
2.5-generation CDMA technology this year to speed up the wireless data
transmission capability of its CDMA mobile network.
At a news conference to announce the award of a US$10 million-plus wireless data
technology contract to Motorola Inc , Hutchison Telecom officials said they expect
Hong Kong to be completely covered by the high-speed data capable system within
two months.
Under the pact, Motorola will provide technology that will enable Hutchison Telecom
to offer a 64 kilobits per second wireless data transmission over its CDMA network
in Hong Kong.
Cliff Woo, deputy managing director and wireless networks director for Hutchison
Telecom said the company expects to have 120,000 Hong Kong customers using
CDMA wireless application protocol (WAP) services by the end of this year versus
10,000 currently.
Woo said combined with Hutchison Telecom's parallel GSM network, the group
expected to have 300,000 to 400,000 WAP data users in Hong Kong by year end.
Shares of Hutchison Telecom parent Hutchison Whampoa Ltd were up 2.86 percent
at HK$98.75 in morning trade on Wednesday.
totaltele.com

<Following completion of the CDMA network rollout, Telstra and Nortel
Networks plan to conduct trials of cdma2000* 1XRTT, a high-speed, third
generation wireless technology expected to support data services at up to
144 kilobits per second, or ten times the speed commonly available today.>

Telstra, Nortel Networks Accelerate Nationwide CDMA
Service Rollout in Australia
Additional Investment, Base Stations Expected to Provide 95 Percent
Coverage by July
MELBOURNE, Australia - Telstra and Nortel Networks* [NYSE/TSE: NT]
expect to complete rollout of nationwide CDMA mobile wireless
communications service in Australia by the end of July, less than two years
after network buildout began and a full two months ahead of schedule.
Responding to continued, strong subscriber demand, Telstra
(www.telstra.com) has accelerated the network build schedule - and nearly
doubled the planned number of base stations to be deployed - by increasing
its total investment in Nortel Networks' CDMA infrastructure equipment to
nearly US$370 million (vs. the initial US$200 million investment announced
in 1998).
When completed, the network is expected to include 2,100 base stations,
and to provide service coverage capable of reaching 95 percent of the
Australian population.
The Telstra network includes first commercial deployment of Nortel
Networks' CDMA Rural Cell base station, also known as 'Boomer' Cell.
Designed specifically to meet the demanding requirements of the Australian
outback, the 800 MHz 'Boomer' Cell can deliver coverage radius greater than
150 kilometres under suitable conditions, far exceeding the range of a typical
CDMA base station. It can also reduce the number of cell sites required to
provide rural coverage by as much as 50 percent.
"CDMA and 'Boomer' Cell technology are ideally suited to Australia's
challenging regional and rural environments," said Greg Young, senior
product manager, CDMA, Telstra.
"This CDMA network rollout has been a testament to engineering excellence
and demonstrates our ability to respond quickly to the evolving business
needs of our customers," said Kevin Dearsley, Telstra account vice-president
for Nortel Networks. "In less than two years, across a land mass the size of
the continental United States, we have built an advanced infrastructure that
will make voice, WAP (Wireless Application Protocol) and Wireless Internet
services accessible to the great majority of Australians, rural and urban
alike."
Following completion of the CDMA network rollout, Telstra and Nortel
Networks plan to conduct trials of cdma2000* 1XRTT, a high-speed, third
generation wireless technology expected to support data services at up to
144 kilobits per second, or ten times the speed commonly available today.
Nortel Networks is a global leader in telephony, data, eBusiness, and
wireless solutions for the Internet. The Company had 1999 U.S. GAAP
revenues of US$21.3 billion and serves carrier, service provider and
enterprise customers globally. Today, Nortel Networks is creating a
high-performance Internet that is more reliable and faster than ever before. It
is redefining the economics and quality of networking and the Internet
through Unified Networks* that promise a new era of collaboration,
communications and commerce. Visit us at www.nortelnetworks.com.
* Nortel Networks, the Nortel Networks logo, the Globemark, Unified
Networks and How the world shares ideas are trademarks of Nortel
Networks. cdma2000 is a trademark of the Telecommunications Industry
Association (TIA).
Contact for Press and Analysts:
Hannah Watterson
Nortel Networks Australia
(02) 9424 5520
hannahw@nortelnetworks.com
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