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Technology Stocks : Rockwell-Spins off Conexant (CNXT)

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To: Nilda Ovalles who wrote (5)1/17/1999 3:57:00 PM
From: Nilda Ovalles  Read Replies (1) of 2013
 
This is a Gardner Group Report.

Wireless Telephones, Pagers Feed Mobile Communications Chip Market

San Jose, California; December 4, 1998— The demand for semiconductors in the wireless telephone and pager markets is
projected to grow by an annual compound rate of 5.7 percent from 1997 to 2002, reaching $51.1 billion in 2002, according to
Dataquest.

"Digital telephones and alphanumeric pagers represent the greatest growth opportunities, with projected unit growth
rates of 30.6 percent for digital cellular handsets, 36.5 percent for digital cordless phones, and 26.4 percent for
alphanumeric pagers," said Stan Bruederle, industry analyst for Dataquest's Semiconductor Applications Markets
Worldwide program.

The cordless handset has seen an increase because 900-MHz products have come down in price. It has been projected that
this category will continue to significantly expand its percentage of the U.S. market over the forecast period, Mr.
Bruederle said.

An increase in worldwide cellular/personal communications services will drive cellular handset growth from 107.8
million units to 308 million units by 2002. At that time, digital cellular handsets should account for 99 percent of
worldwide production, he said.

New two-way and voice technologies, along with pagers with meter readings, will help the market rebound, Mr.
Bruederle said.

The Dataquest Industry Trends Report, "Mobile Communication Semiconductor Application Markets, 1997-2002," provides
in-depth analysis, including trends for cordless telephones and cellular and broadband PCS telephones.

Figures and tables illustrate mobile communications semiconductor demand, worldwide cordless telephone handset and
base station production, the leading digital cordless handset vendors, the differences between digital cordless and digital
cellular phones, and worldwide cellular and broadband PCS subscribers.
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