The only reason for W-CDMA to exist is for the companies who tweaked CDMA to obtain their own IPR and royalties.
Your point was quite logical. However, with so much money just in terms of royalties at stake, logic is not going to prevail. I'm not so sure the GSM cabal is ready to give up on their exorbitant royalty goals yet. The cabal may be in an increasingly weakened position to attempt to circumvent QCOM's IPR, but I doubt they are ready to capitulate on obtaining their pound(s) of flesh in the form of exorbitant royalties. They may have to find a new angle to play, but I doubt this means certain capitulation in the near term. keep in mind that these companies have a HUGE gravy train with their GSM legacy systems. They are addicted to this easy money & like any addict, they won't make logical decisions that result in cold turkey.
FWIW, My take on this move is that QCOM wants to separate the ASIC's division off to allow companies like NOK to save face & make a 3G chip deal. Based on the recent actions of QCOM - most notably the PR that reinforced QCOM's position on all flavors of CDMA with the statement that QCOM reserved the right to increase royalties to those who wait too long to obtain a license; the comments reiterating QCOM's claim to essential IPR on all flavors of CDMA at the earnings CC last week & today's announced spinoff - It appears that NOK, ET AL, have tried to play hardball & screw QCOM by hook or crook (read FUDDD) & QCOM has responded loud & clear. IJ with his team of experts (legal & engineers) saw thru the cheap vail of NOK's WCDMA patent position & now they are calling NOK's & the GSM cabal's bluff. (I also see this as a bluff on the never stated/published WCDMA standard. QCOM will gladly x-license & take their world class ASIC's expertise to design a world class chip, if indeed WCDMA actually works.)
I believe the main reason for today's move was to allow QCOM to assert it's essential IPR to all flavors of CDMA in a clear & unequivocal manner. Until WCDMA becomes reality, I am of the opinion that the differences between CDMA2000 & WCDMA will not result in an improved product. It appears it will be a poor replica of the original again IF it works in the first place.
BTW, where are the successful field tests of WCDMA?
Since 3G CDMA can be overlayed on GSM systems in the same manner as WCDMA, there is no realistic argument that these cosmetic changes are necessary for GSM operators. I agree with your assessment that it is just a ploy by the GSM cabal to continue to retain huge royalty payments on the wireless systems that they insist on shoving down their subscribers throats, regardless of cost or reduced quality.
QCOM seems to be announcing to the wireless world that they will defend their essential CDMA patents & they intend to collect a fair royalty for these essential patents. 3G CDMA is coming & now the ball is in the GSM cabal's court. QCOM can put a serious hurting on any WCDMA deployment if the appropriate licenses are not in place first. Besides, ASIC's are not easy to design for optimal performance, so who is going to provide the world with fully functioning ASIC's if QCOM refuses to go to the WCDMA party? NOK???
CDMA2000 is going to roll out very soon & the world will be able to see & use QCOM's version of this next generation technology - 3G & HDR will not be that far behind. IF WCDMA is to have a realistic chance of becoming the true world standard, then licenses & royalties MUST be paid to the holder of essential IPR. QCOM's actions today seem to have drawn a line in the sand on that issue.
Can these European operators afford to have their WCDMA tied up in court fights when they have been bled dry buying spectrum, then they must go to the expense of tearing out & installing new infrastructure while paying exorbitant royalties to a patent pool??? I think not.
I don't doubt there will be serious thermonuclear FUD over this as tens of billion$ of dollars are at stake in this decade alone. I believe that QCOM has thought this through & intends to stick to their guns. They took a technology & at great risk & expense developed the best wireless system for voice & data. Why should they roll over & play dead now?
BWDIK? It's jmho.
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