March 23, 2006
 

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Qualcomm Could Provide Chips for Motorola 3G Phone
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Wireless giant Qualcomm may be poised to become the chip supplier for the latest generation of Motorola's High-Speed Download Packet Access phones, expected to ship before the year is out.

Caris & Company tech analyst Susan Kalla noted in a research report Wednesday that Freescale Semiconductor, a spin-off of Motorola, and still its current semiconductor supplier, makes a chip that is too wide to accommodate the company's thin 3G phones.

"Freescale is having difficulty reducing the size of its chipset…Qualcomm could become the supplier for Motorola's 3G phone," said Kalla, who estimated Motorola could sell 50 million to 60 million of the phones by the end of 2007.

Separately, industry observers think Qualcomm could get a boost from a planned joint venture between Nokia and Sanyo, announced Tuesday, to develop wireless phones with Code Division Multiple Access technology. Qualcomm is a leading licensor of CDMA technology for handsets.

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