TO ALL-- Frost & Sullivan - CDMA Gives Carriers Edge Over
Competitors Using Other Technologies
MOUNTAIN VIEW, Calif., March 8 /PRNewswire/ -- At a time when service competition
among carriers is reaching unprecedented levels, a technically robust and cost-effective air
interface standard such as Code Division Multiple Access technology (CDMA) offers
carriers a clear edge over competing carriers using other technologies.
According to the latest strategic research by Frost & Sullivan (www.frost.com), World CDMA Infrastructure Equipment
Markets, revenues for the technology were estimated at $8.5 billion for 1998, making CDMA the hottest of the three cellular
standards (GSM, TDMA and CDMA). The basis of this competitive edge stems from CDMA's advantage in higher potential
capacity over competing standards. This higher capacity in turn can lead to lower infrastructure deployment and maintenance
costs for carriers.
''The technology itself is the basis of the advanced Third Generation Cellular networks,'' says Frost & Sullivan
Telecommunications Analyst Subodh Karnad, ''and many of the more dynamic cellular and PCS carriers around the world are
deploying CDMA equipment.''
Quality, reputation, price, and the ability to provide customer financing and support are the key ingredients in the competitive
model for the market. ''The most important point to stress is that CDMA is now a valid, proven and capable technology,'' says
Karnad. ''This is significant because, in the past, CDMA has often been ruled out as a new and unproven standard.''
Early success in key markets such as the U.S., Canada and Korea has eroded the market skepticism that prevailed amongst
carriers, investors and regulators.
Any threats that might arise in this market come from the regulatory forces that might prevent the entry of CDMA in certain
markets. Most of the current participants in this market are large, well-funded mega telecom vendors such as Lucent, Motorola
and Nortel.
This research provides an up-to-date picture of CDMA's growth on a worldwide basis. It offers a region-by-region analysis of
the market, including North America, Asia Pacific and Latin America. It also offers revenue forecasts for the total CDMA
infrastructure market, and is further broken down into individual equipment segments. These unit and revenue forecasts will
provide valuable assistance in business planning, forecasting, demand estimation, discovering regional opportunities and finding
information on major infrastructure vendors.
CDMA has clearly established itself as the major standard for digital cellular and PCS services. With clear advantages in cost,
clarity and capacity, CDMA is expected to continue to expand its footprint in various markets all over the world.
The technologies reviewed include CDMA, TDMA, GSM, and AMPS.
Market participants include: 3Com, Advantest Corporation., Aldiscon, Allgon Enterprises, Anritsu Wiltron Company,
Comarco Wireless Technologies, DSP Communications Inc., Fujitsu Limited, Gryason Electronics Company,
Hewlett-Packard, Hitachi Telecom, Hughes Network Systems, Inc., Hyundai Electronics Industries Co. Ltd., IFR Systems
Inc., LG Information and Communications Ltd., LSI Logic, Lucent Technologies, Metawave Communications, Mobile
Systems International, Motorola (Cellular Infrastructure Group), Panasonic, Nortel, ORA Electronics, Ortel Corporation,
Qualcomm Inc., Recal Instruments Inc., Rohde& Schwartz GmbH & Co., Sage Instruments, SAFCO Technologies, Samsung
Electronics Ltd., Sema Group Canada Ltd., Spectrian Corporation, Tecore Inc., Telecom Analysis Systems, Telogy
Networks, Texas Instruments and VLSI Technology Inc.
This telecommunications industry research has integrated the Market Engineering consulting philosophy into the entire research
process. Critical phases of this research included: Identification of industry challenges, market engineering measurements,
strategic recommendations, planning and market monitoring. All of the vital elements of this system help the market participants
navigate successfully through the telecommunications market.
Frost & Sullivan is an international marketing consulting and training company that monitors the telecommunications industry for
market trends, market measurements and strategies. This ongoing research is utilized to update a series on online research
publications such as the CTI & CPE Custom Subscription (www.frost.com/online), and to support industry participants with
customized consulting needs.
Visit the Frost & Sullivan Web site at: www.frost.com.
World CDMA Infrastructure Equipment Markets
Report: 5423-65 Date: March 1999 Price: $3450
SOURCE: Frost & Sullivan
Related News Categories: computers, telecom
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