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To: DiB who wrote (54)11/3/2000 6:29:44 PM
From: BillyG  Read Replies (1) | Respond to of 76
 
Wireless chip market to double over next five years
semibiznews.com

Semiconductor Business News
(11/03/00, 04:01:30 PM EDT)

OYSTER BAY, N.Y. -- Driven by cellular phones, broadband services, and other
applications, the wireless-chip market is projected to more than double over the
next five years, according to a report from Allied Business Intelligence Inc. (ABI)
here.

In total, the worldwide wireless-chip market will grow about 44.8% next year, from
$10.5 billion in 2000, to $15.2 billion in 2001, according to ABI, a market research
house that tracks the wireless market. Beyond 2001, the wireless-chip market is
projected from $17.4 billion in 2002, to $19.1 billion in 2003, to $19.9 billion in
2004, to $21 billion by 2005, ABI said.

The bulk of the market centers around cellular/base-station chips, which
represents about 97% of the overall business, ABI said. But broadband-based
technologies are coming on strong, such as wireless local-area networks,
multichannal multipoint distribution services (MMDS), and local multiport
distribution services (LMDS).

"ICs used in MMDS devices account for under 1% of the market in 2000, but the
value of chips used in the application is expected to show impressive gains over
the next five years," said ABI analyst Andy Fuertes. "ICs for wireless LANs are
also showing considerable growth."

Fixed-wireless broadband services like MMDS and LMDS is especially hot. In
total, the worldwide MMDS market is projected to grow from relatively zero right
now to 6 million subscribers by 2005-with the United States accounting for over
one-fifth of the business, said ABI.

The worldwide LMDS market is expected to grow from less than 100,000
subscribers in 2000 to close to 2 million by 2005, ABI said.