SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : Nokia (NOK)
NOK 6.035+1.7%12:37 PM EST

 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: tero kuittinen who wrote (1897)5/8/1999 12:15:00 PM
From: Jim Lurgio  Read Replies (2) of 34857
 
Seems this analyst shares your view on GSM in China. This from the April 26th issue.

wirelessweek.com

China CDMA Policy Called 'Posturing'

By Owen Hughes

HONG KONG--China's decision to permit code division multiple access technology is merely "posturing," a telecommunications analyst warned.

ABN-AMRO Asia research analyst Joe Locke said that Beijing had seemingly embraced CDMA as part of its overall trade policy with the United States, including its attempt to gain membership of the World Trade Organization.

In the weeks since China's State Council made its decision on CDMA last month, Motorola Inc. and Lucent Technologies Inc. each completed contracts valued at $20 million. The official Chinese news agency Xinhua said that Beijing Posts and Telecommunications Administration would buy CDMA equipment from Motorola to build 35 base stations. The report added that Lucent had signed a draft contract with Guangdong Cellular Telecom, a subsidiary of China Telecom, to supply equip-ment to expand the number of base stations in the southern province to 45.

But Locke warned that the $40 million in orders doesn't compare to the $4 billion worth of global system for mobile communications technology China ordered in 1998. "It does not make sense for China to have competing technologies. You already have more than 20 million people using [GSM]. I remain very skeptical about this," Locke said, suggesting China was "posturing" to win trade concessions.

Locke added that it made little practical sense to embrace narrowband CDMA technology when it would be outdated in three years.

Questions also remained about which national network would roll out CDMA. China Unicom has conducted CDMA trials in four cities­Beijing, Shanghai, Guangzhou and Xian. Great Wall has been a proponent of the technology, partly because the People's Liberation Army-owned company can access the military's frequencies in areas where CDMA is used.

Yet China Unicom remains the poor relation to dominant player China Telecom, and Locke said that the U.S. government will be reluctant to sell technology to a PLA company. Complicating the issue further, China's military last year was told to dump its commercial operations, and its status remains unclear.

Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext