Qualcomm and Teleepoch
Enter Into a 3G CDMA Subscriber Unit License Agreement, October
6, 2007
MTN chooses Cambridge Broadband
Networks for multi-service wireless network in Rwanda, October 6,
2007
Brazilian government to
publish 3G bidding rules soon, October 6, 2007
KTF 3G service suffers
from technical problems, October 6, 2007
Argentina’s Personal
lunches 3G service in Rosario, October 6, 2007
Russia has it's first 3G
network, October 6, 2007
AT&T could drop Alcatel-Lucent
as 3G mobile network supplier, October 6, 2007
Enea Extends License Agreement
with ZTE for 3G Handsets, October 2, 2007
LG to unveil premium handsets
in Brazil, October 2, 2007
KTF 3G subscribers doubled
in less than 3 months, October 2, 2007
3G policy in India will
be non-uniform, October 2, 2007
- previous news
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Increasing Innovation And Consumer Demand To Drive Handset Market, According
To ABI
May 21, 2003
Wireless users are migrating toward feature-rich devices that incorporate
color screens, advanced data, and messaging applications, including navigation,
gaming, multimedia messaging, and instant messaging, among others. The
market is moving from one of initial penetration to one of innovation,
or replacement with next-generation devices. In addition, wireless operators
are under increased pressure to drive higher average revenue per user
(ARPU), and are doing so by adding data services and "infotainment" content
available only on newer technology handsets, thereby giving the consumer
a reason to upgrade.
"With handset makers and wireless operators developing new devices and
compelling services, the replacement cycle will shorten, thereby accelerating
growth in the handset market," states ABI analyst Kenil Vora. "The key
to maintaining this growth is the successful deployment-and timing-of
feature-rich devices and related services."
According to research from Allied Business Intelligence Inc. (ABI), the
number of replacement handsets shipped will grow from 211 million in 2002
to 591 million units in 2008, representing nearly 85% of all shipments
worldwide at that time.
As such, to keep up with consumer demand for newer handsets with more
advanced features, the suppliers of integrated circuits (ICs) to handset
manufacturers must offer increasing levels of functionality-while still
maintaining the products' sleek looks and longest possible battery life.
The race is on for IC suppliers to offer manufacturers-as well as the
end user-the complete package.
Because of this anticipated growth, the market for handset ICs, currently
at $8.7 billion, is expected to grow to approximately $12 billion by 2008
with a compound average annual growth (CAAG) of 5%.
This available market projection includes consideration of the core components
in the communications chain, including digital baseband, analog baseband,
power management, RF transceiver, and applications processors. However,
of the core components, the applications processor represents the biggest
growth opportunity for handset IC suppliers, with sales to manufacturers
expected to reach over $2 billion in 2008 at a CAAG of 120%.
"The key to this market going forward is for IC suppliers to support
handset vendors with a complete solution," explains ABI senior analyst
Tim Shelton. "The applications processor is the next burgeoning opportunity
for IC suppliers to capitalize on."
Additional information on wireless handsets, smartphones, and communicators
is available through ABI's Wireless Handset Subscription Service. The
continuous information service outlines the evolution of the handset to
a multimedia and data-centric platform and the progression to the 2.5G
and 3G networks. ABI provides a thorough examination of trends in the
global market for wireless handsets and offers a realistic outlook on
where the industry is headed.
Further information on handset ICs is available through ABI's Handset
Integrated Circuits Subscription Service. The service dissects the handset
IC market by component, reviewing both regional and air-interface segments.
Attention is paid to the continuing integration of functionality and effects
on ASPs, as well as revenue trends for the sector.
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