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To: cfoe who wrote (48133)	11/5/1999 8:27:00 PM
From: Kent Rattey	Read Replies (1) \| Respond to of 152472

New chip could lead to smaller cell phones By Bloomberg News Special to CNET News.com November 5, 1999, 5:00 p.m. PT Telecommunications equipment leader Lucent Technologies developed a semiconductor for cellular phones that could lead to lighter, smaller handsets that have a longer battery life. The chip, known as a digital-signal processor, or DSP, caters to demand for cell phones that can do everything from surf the Internet to send email. Analysts predict that demand for cell phones will rise as much as 70 percent this year. The new chip is "exactly" what the market is looking for, Will Strauss, president of market researcher Forward Concepts said. Strauss estimates that the world market for the chips that translate signals such as light, heat, and sound into a digital computer language is about $4.4 billion. In addition to cell phones, the chips are used in computer modems, household appliances, and consumer electronics. Lucent, based in Murray Hill, New Jersey, is the second-biggest maker of DSPs, behind Dallas-based Texas Instruments. Lucent's new DSP operates at a speed of 100 MHz, yet draws only 1 volt of power. The current 100-MHz DSPs on the market require more power. One-volt chips available now are slower than 100 MHz, Lucent said. Lucent hasn't set a schedule for producing the new chip. Mark Pinto, chief technology officer of its microelectronics unit, said the design uses existing production technology. "There's nothing that prohibits us from immediately deploying it," he said.