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Technology Stocks : Nokia (NOK)

NOK 6.055

-0.6%

Nov 25 3:59 PM EST

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To: Jim Lurgio who wrote (469)	12/17/1997 1:36:00 PM
From: tero kuittinen	Read Replies (1) of 34857

Hi Jim, It's my understanding that the Nokia/Ericsson model definitely is not compatible with is-95. I doubt that Siemens alternative is either. Anyway, the big decision on the part of NTT-DoCoMo is that do they really decide to embrace the Nokia/Ericsson W-CDMA and create an Asian/European common 3G standard that would not be compatible with is-95 while being easy to overlay on existing GSM solutions. The Japanese have given many indications of doing so and the final decision will be made in 1998. This decision could curtail the expansion of is-95 in Asia, Japanese have a lot of muscle. It would also give a boost to current GSM manufacturers: it's easy to sell a network if there is a guaranteed next generation upgrade coming up after 2000-2002. I think the Japanese will be tempted to go ahead with the W-CDMA, because this will open up the huge established GSM market for them after the GSM operators start to upgrade to W-CDMA. An Asian/European 3G standard is a bit of a nightmare for Motorola after it has put so much effort to current American CDMA standard, so it is doing what it can to prevent this from happening. Tero

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