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To: bananawind who wrote (1959)9/28/1999 10:11:00 AM
From: llwk7051@aol.com  Read Replies (1) | Respond to of 13582
 
GartnerGroup's Dataquest Says U.S. Mobile Handset Sales Exceeded 10 Million Units in Second Quarter 1999; CDMA Accounted for Nearly Half of Digital Handset Sales

SAN JOSE, Calif.--(BUSINESS WIRE)--Sept. 28, 1999--Driven by
continued growth in the digital handset market, U.S. mobile handset
sales surpassed 10.3 million units in the second quarter of this year,
according to Dataquest Inc., a unit of Gartner Group, Inc. (NYSE:IT).

Digital handsets accounted for 77.8 percent of U.S. mobile
handset sales in the second quarter, while analog handsets totaled
22.2 percent of sales.

In comparison, 1998 year-end results show that analog handsets
had 40 percent of the U.S. handset market. Dataquest analysts said
that code-division multiple access (CDMA IS-95) handsets are an
increasingly large component of the strong growth of digital mobile
telephony in the United States.

"The growth of the U.S. CDMA market continues to play havoc with
the market share fortunes of the industry's traditional top-tier
vendors," said Bryan Prohm, senior industry analyst for Dataquest's
Mobile Communications Terminal Devices North America program.

"For example, Nokia's weak share in CDMA has prevented it from
completely running away with the U.S. market. Motorola's successful
CDMA portfolio has helped it capture the No. 2 position in the overall
U.S. mobile handset market (see Table 1). Ericsson, which currently
does not offer a CDMA product, slipped to the No. 5 position."

Within the U.S. digital handset market, CDMA technology
represented 47 percent of sales in the second quarter. Year-end 1998
results showed CDMA had 38 percent of the digital handset market. In
1998, time-division multiple access (TDMA IS 136) technology had 46
percent of digital handset sales, but in the second quarter of 1999,
TDMA slipped to 39 percent of sales.

Table 1

U.S. Mobile Handset Market Share Estimates by Unit Sales, Second
Quarter 1999

Company Q2/99 Market Share (%)
Nokia 31.7
Motorola 22.4
QUALCOMM 12.2
Audiovox 10.3
Ericsson 10.2
Others 13.2
Total Market 100.0
Source: Dataquest (September 1999)

Additional information on this market is available by subscribing
to Dataquest's Mobile Communications Terminal Devices North America
program. This program provides detailed forecasts and actionable
analysis of developments in the mobile communications terminals sector
and the fast-changing distribution channels through which they reach
the market.

More information on this program is available on Dataquest's Web
site at
dataquest.com.

To subscribe to this program, please call 800/419-DATA or
408/468-8009. More information about Dataquest's programs,
descriptions of recent research reports, and full text of press
releases can be found on the Internet at dataquest.com.

GartnerGroup analysts are taking a unique look at the wireless
market during The Great Wireless Experiment. Bob Egan, GartnerGroup
research director for wireless communications in North America, has
put away his wireline-based technologies, and for 30 days his
communications (both voice and data) are being conducted exclusively
with wireless products.

A special Web page has been developed to monitor Egan's
activities with various wireless products. The site will also be
updated with GartnerGroup research findings on the wireless industry.
The Great Wireless Experiment Web site can be accessed at
gartner.com.

GartnerGroup's Dataquest is the recognized leader in providing
the high-technology and financial communities with market intelligence
for the semiconductor, computer systems and peripherals,
communications, document management, software, and services sectors of
the global information technology industry.

As the world's leading authority on IT, GartnerGroup provides
clients with a wide range of products and services in the areas of IT
advisory services, measurement, research, decision support, analysis,
and consulting. Founded in 1979, with headquarters in Stamford, Conn.,
GartnerGroup is at the center of a global community serving Fortune
1000 clients from 80 locations worldwide.

Additional information about the company is available on the
Internet at gartner.com.

--30--pb/sf* ik/sf