WCDMA

Mobile satellite is making a comeback

Lynnette Luna — Sun, 30 Nov 2008 23:53:37 -0500

Remember that series of financial disasters in the late 1990s for mobile satellite services (MSS) companies such as Iridium, Globalstar and ICO? Ten years later, and the industry appears to be headed for a resurrection, enabled by relaxed regulations, business plans, new satellites capable of offering broadband applications and a remedy to those clunky handsets that played a large role in the industry's downfall.

Several MSS companies are working to make MSS a consumer product in the next two years, and most are looking to the mobile broadband industry as a significant part of their businesses as the FCC now allows operators to utilize terrestrial partners.

And the crux of their plans is an announcement that flew somewhat under the radar in September. Qualcomm made a deal with ICO and Mobile Satellite Ventures (MSV) to put satellite and cellular phone technology into baseband chips embedded in multi-mode phones. This will both allow a wider consumer market to access satellite connectivity and enable handset makers to develop EVDO, WCDMA and LTE phones that are satellite-capable.

"That means that satellite-enabled chipsets are going to be available at no incremental cost," said Chris Gates, vice president of strategy with MSV. "The power of this can't be overstated. It means that satellite services can move cost effectively into the mass market with no impact on device form factor."

ICO has deployed a GEO satellite designed to deliver a satellite-hybrid terrestrial network using mobile TV technology DVB-SH. The company has begun market trials in Las Vegas and Raleigh-Durham with Clearwire to focus on increasing the value and cost effectiveness of delivering advanced interactive mobile video services.

"The amount of capacity that these networks lose by offering video over terrestrial networks is immense," said ICO CEO Tim Bryan. "Even if you have LTE or WiMAX it doesn't matter. There is a lot of capacity that is lost. It would be much more efficient to offer mobile video on a nationwide basis by offloading it to satellite and use the other capacity for data and other services."

MSS could also provide an avenue for terrestrial wireless broadband providers to expand their coverage. Globalstar recently won approval from the FCC to incorporate WiMAX in the ancillary terrestrial component (ATC) level with the help of terrestrial partner Open Range Communication. The two will offer WiMAX to more than 500 rural communities--with the help of a $267 million loan from the Department of Agriculture's Rural Development Utilities Program. Globalstar said it will be looking for other partners too.

Mobile Satellite Ventures (MSV), which already offers satellite telephony service to niche markets, plans to launch two new high-powered satellites capable of high-speed data with service available in 2010, but hasn't announced any terrestrial partners yet. According to Chris Gates, vice president of strategy with MSV, the satellite provider offers a significant advantage for terrestrial operators wanting to extend coverage and offload data traffic because it has access to a large swathe of spectrum via an agreement with Inmarsat, which gives it the ability to access up to 46 megahertz of spectrum, 40 megahertz for ATC services and 6 megahertz for MSS only services.

"That's an extraordinary amount of spectrum, about the size of the 700 MHz auction," Gates said. "We think there will be huge demand for additional spectrum as data becomes more and more important, and we're available in the near term."

In addition, MSV is targeting a host of markets: government, enterprise, telematics and mass consumer.

But it seems like the biggest hurdle to getting the message across that satellite operators make good partners for terrestrial network operators is the stigma associated with the failed business plans of the past. Bryan said that stigma is the reason ICO has been busy building its satellite capabilities and demonstrating what its services can do.

2009 should be an interesting year for the satellite industry. We could see some new and interesting partnerships--perhaps even one that creates a new nationwide 4G wireless network in the U.S. --Lynnette

UTStarcom sells mobile unit to equity firm

Sue Marek — Tue, 10 Jun 2008 10:46:46 -0400

Private equity firm OpenGate Capital will acquire UTStarcom's mobile solutions business. The deal is expected to close in about three weeks. Financial terms were not disclosed.

UTStarcom says the sale is part of the company's plan to focus on other telecom businesses such as IPTV, next-gen networks and broadband. The mobile solutions business consists primarily of its CDMA products and will be renamed Star Solutions.

In other news, the company named Peter Blackmore CEO effective July 1. Blackmore succeeds Hong Liang Lu, who will become the firm's executive chairman.

For more:
- see this article

Related story:
UTStarcom shifts focus from WCDMA to IPTV

Is China finally moving to 3G?

Sue Marek — Tue, 27 May 2008 11:30:49 -0400

China reportedly is ready to issue 3G licenses after six years of promises and delays. While announcing it plans to restructure China's telecom service providers, China's regulators also announced that three 3G licenses will be granted once the restructuring is complete.

The Chinese government has been delaying the 3G process in a bid to get its home-grown standard, TD-SCDMA, up to par with WCDMA and CDMA 1xEV-DO. To date, the country's carriers have spent a significant amount of money on TD-SCDMA trials and may possibly offer services during the 2008 Olympic Games this summer.

The impending 3G awards should be good news for the world's vendors, which have been banking on China opening up the market to 3G and bolstering their business. There should be some aggressive fighting for contracts, especially when Huawei and ZTE have been fighting for market share outside of China.

For more about China's 3G plans:
- read this Unstrung article

Related stories:
- Analyst: China's 3G still years away. See this China 3G story
- China to begin home-grown 3G technology trial. See this TD-SCDMA story
- China continues to hedge on 3G. See this 3G in China story

Analyst: China's 3G still years away

Fri, 18 Apr 2008 06:59:54 -0400

Despite the country's promise to roll out its TD-SCDMA 3G standard before the Olympics, one analyst contends that based on the average trial periods of new wireless networking technologies, the likelihood of TD-SCDMA launching before the Olympics is very unlikely. In fact, the technology could take a few more years to launch. The Ernst & Young analyst also predicted that China might end up awarding licenses for WCDMA and CDMA2000 by the time TD-SCDMA rolls out.

For more on the analyst's predictions:
- read this China's 3G TD-SCDMA article

SPOTLIGHT: New directions for LBS

Fri, 18 Apr 2008 06:59:52 -0400

A recent forecast issued by market analysis firm ABI Research suggests the potential for mobile location-based services is huge, anticipating annual global revenues of $13.3 billion by 2013, up from $515 million in 2007. ABI credits the surge to new WCDMA and GSM handsets incorporating GPS capabilities as well as consumer demand for personal navigation functionality, not to mention mobile applications such as friend finders, local information searches, family tracker apps and enterprise apps. Here are five mobile LBS advances worth following in the months ahead: Read more...

Qualcomm-Broadcom spat slows Sprint's QChat

Thu, 20 Mar 2008 07:59:55 -0400

The U.S. Court of Appeals for the Federal Circuit in Washington, D.C. rejected Qualcomm's bid to lift an injunction that stopped it from selling chips found by a California jury to infringe on Broadcom patents. Qualcomm hoped to continue to sell its 3G chipsets for WCDMA while appealing the verdict. Sprint Nextel's attempt to intervene in the case on Qualcomm's behalf was also dismissed by the court.

"We are gratified that the U.S. Court of Appeals rejected Qualcomm's motion for a stay, leaving in force the injunction against Qualcomm's infringement issued by the U.S. District Court in Santa Ana," Broadcom General Counsel David Dull said in a statement.

Pali Research analyst Walter Piecyk said the news is not a cause for alarm for Sprint investors: "We caution investors from getting alarmed by this news as Sprint has already announced that its launch of QChat would be delayed and limited to 20 markets," Piecyk wrote in a research note. "The recently announced delay in QChat might be a surprise to some as the company repeatedly stated that it was on track for a Q1 launch despite evidence to the contrary that we unearthed in mid November."

For more on the news:
- read this article from the Washington Post

AT&T to extend 3G deployment

Thu, 07 Feb 2008 06:59:57 -0500

AT&T announced plans to extend its deployment of 3G in the U.S. to more than 80 additional cities. The WCDMA/HSDPA operator said its 2008 deployment plans would result in AT&T 3G service in 350 top U.S. markets by the end of this year. The move calls for more than 1,500 additional cell sites nationwide, which is good news for vendors complaining about the lack of growth in the U.S. market. Other plans in 2008 include completion of the nation's first High Speed Uplink Packet Access (HSUPA)-enabled network by the middle of the year. Not surprisingly, the operator announced plans to deploy LTE as its 4G standard.

For more about AT&T's 3G plans:
- check out this cellular-news article

Nokia gets a win in one Qualcomm patent battle

Thu, 13 Dec 2007 06:59:56 -0500

In a tentative decision, an administrative law judge ruled that Nokia's GSM/GPRS/EDGE handsets do not infringe on three of Qualcomm's patents. The case is just one of 11 ongoing disputes between Qualcomm and the handset maker after licensing talks between the companies broke off earlier this year. The ITC is set to make a final determination by April 14, 2008. Qualcomm said the tentative decision is not concerning the most important of the disputed technology licenses: the ones for WCDMA.

For more on the case:
- read this press release from Qualcomm

Broadcom won't refile; ITC drops Nokia suit

Mon, 26 Nov 2007 06:59:57 -0500

Qualcomm won two court victories last week: The ITC dropped Nokia's patent infringement case and Broadcom announced it would not refile its lawsuit, but rather accept the reduced fines ($19.6 million)Ã‚Â against Qualcomm.

The ITC's decision to drop the Nokia suit follows its decision to end an investigation into Qualcomm. Nokia stressed that the case was dropped not because of the merits of the case, but because of ongoing arbitration.

Broadcom had the option of accepting the reduced fines of refiling a case, after a change in federal law regarding the "willfulness" of patent infringement affected the case's settlement. U.S. District Court Judge James Selna doubled the damages a jury awarded Broadcom to $39.3 million prior to the change in law. Broadcom said it will still "seek to enjoin Qualcomm from making, using, selling and developing third-generation WCDMA and EV-DO cellular chips that infringe any of the patents."

For more on the cases:
- read this WSJ article about Nokia-ITC (sub. req.)
- read this WSJ article about Broadcom (sub. req.)

Alcatel to lose AT&T deal to Ericsson?

Mon, 08 Oct 2007 06:59:58 -0400

According to a report in the Financial Times, Alcatel-Lucent is poised to lose a WCDMA network infrastructure deal it had with AT&T to Swedish rival Ericsson. The original contract, which was inked in 2004, awarded Ericsson $900 million, Lucent $700 million and Siemens $400 million. Ericsson's 45 percent stake could get a whole lot bigger. The report also indicated that AT&T considered dropping Alcatel-Lucent altogether, but decided to retain the vendor for now.

"We continue to be a critical WCDMA supplier to AT&T," Alcatel-Lucent said in a statement. "Our market share has remained relatively stable and we continue to work to meet our commitments to maintain our market share. To speculate otherwise is both inaccurate and misleading."

Alcatel-Lucent's board recently urged CEO Patricia Russo to come up with a comeback plan for the struggling vendor, which has had trouble integrating since its merger last year. That motion indicated to many analysts that Russo was on her way out, but the board quickly issued a statement to reassure the industry that it fully backed Russo in her position as CEO.

For more on Alcatel-Lucent's woes:
- read this article from the Financial Times

MediaTek buys Analog Devices' assets for $350M

Tue, 11 Sep 2007 06:59:54 -0400

According to a report in The Wall Street Journal, Taiwan's MediaTek is buying Analog Devices' cellular chip assets for $350 million. The report pegs the deal as a big win for China's 3G market. The soon-to-be acquired assets include GSM, WCDMA and TD-SCDMA technologies. MediaTek will acquire 400 product development and support staff as part of the deal. Analog Devices' clients include Sharp, Samsung and Lenovo.

For more on the deal:
- read this press release

Why mobile companies like running to the ITC

Mon, 10 Sep 2007 06:59:59 -0400

Why mobile companies like running to the ITC
Are you wondering why a host of mobile companies are running to the U.S. International Trade CommissionÃ‚Â (ITC)Ã‚Â to remedy their patent disputes rather than duking it out in district court?

The obvious answer is Broadcom's success in June to get the ITC to ban the import of certain mobile phones containing 1xEV-DO and WCDMA chips. The commission ruled that the chips infringed on a Broadcom patent.

But the onslaught of ITC complaints from a variety of companies began well before that and accelerated last summer, when the Supreme Court, through the eBay Inc vs. MercExchange LLC ruling, made it harder for patent owners to win a permanent injunction against infringers. As such, using Section 337 of the Tariff Act of 1930, which was originally enacted to protect U.S. domestic industries from unfair competition abroad, has significantly evolved into the primary means for companies to protect their intellectual property rights in cases involving infringing imports. Section 337 investigations are done by the ITC, and since a growing number of U.S.-based high-tech companies are moving their manufacturing operations outside of the U.S., their products are subject to ITC jurisdiction because they are being imported back into the U.S.

According to law firm Bingham McCutchen, a number of advantages exist using Section 337. The ITC usually issues a reasonably quick decision compared with a typical court case since the commission is required by law to complete investigations by set dates. In addition, an ITC ban on products has teeth because it is enforced by U.S. Customs. A court injunction is difficult to enforce. As such, an ITC ban makes the likelihood of a settlement all the greater.

Today, the ITC is scheduled to hear Qualcomm's petition to ban the import of Nokia GSM phones. And last week we saw the ITC agree to investigate Nokia's 3G handsets, which InterDigital claims infringes on two of its patents. Meanwhile, Nokia has asked the ITC to ban imports of certain Qualcomm chipsets and handsets that it claims infringe on five of its patents. Nokia says Qualcomm's recent patent setbacks with other companies is giving the handset vendor an advantage since it is filing similar complaints.

The advantages of the ITC's involvement coupled with Broadcom's success against Qualcomm means we can continue to see the IP legal drama unfold. -Lynnette

Ericsson inks $1.3B BSNL deal

Fri, 07 Sep 2007 06:59:55 -0400

Ericsson has received a $1.3 billion contract from Bharat Sanch Nigam Ltd. (BSNL) to supply the carrier with mobile equipment and related services. The vendor will specifically upgrade BSNL's GSM network with WCDMA/HSPA technology. Ericsson will also provide network design services and deployment and systems integration. The deliveries will begin next month and the first phase of the project should be complete in one year's time. The deal is very similar to a billion dollar deal Ericsson inked with Bharti Airtel this time last year.

For more on Ericsson's billion dollar deal:
- read this press release

Broadcom's anti-trust case against Qualcomm

Wed, 05 Sep 2007 06:59:56 -0400

A federal appeals court has ruled that Broadcom can pursue antitrust claims against Qualcomm, which Broadcom claims violated a pledge to standards groups regarding WCDMA technology. The suit alleges that Qualcomm failed to license its technology on fair, reasonable and nondiscriminatory terms. Today's ruling overturns a New Jersey district court's ruling in August 2006 that granted Qualcomm's motion to dismiss the case. The Court of Appeals for the Third Circuit, however, overturned two portions of the August 2006 ruling: namely that a patent-holder's violation of promises to groups like standards bodies "is actionable anticompetitive conduct."

Both Broadcom and Qualcomm trumpeted the latest decision as a win. Broadcom said it is pleased it can now pursue its anti-trust suit, and Qualcomm is pleased that only two of Broadcom's eight claims remain. The company expects the other two to be dismissed as well.

For more on the case:
- read this press release from Broadcom
- read this press release from Qualcomm
- check out this WSJ report (sub. req.)

Nokia's timing couldn't be worse for Qualcomm

Mon, 20 Aug 2007 06:59:59 -0400

Nokia's timing couldn't be worse for Qualcomm
Just when Qualcomm is distracted by its patent battle with Broadcom, in comes Nokia hoping the International Trade Commission will be just as kind as it has been to Broadcom in agreeing to ban imports of certain Qualcomm chipsets and handsets that it claims infringe on five of Nokia's patents.

In the latest of the many spats between the two companies, Nokia is accusing Qualcomm of engaging in unfair trade practices by infringing on five Nokia patents and using them in its CDMA and WCDMA/GSM chipsets. Qualcomm has already filed complaints against Nokia for allegedly infringing on six of its patents and the commission is expected to convene a trial on those accusations next month.

Nokia's Chief Financial Officer Rick Simonson told Dow Jones Newswires that he believes Qualcomm's recent patent setbacks with other companies gave Nokia an advantage.

"They're losing on the things that are very similar to the complaints we are filing," he said.

For sure, Nokia's move comes at an inopportune time for Qualcomm, whose general counsel Lou Lupin, the mastermind behind Qualcomm's historically stalwart IPR initiatives, resigned. Last week, the company was in federal court, urging a federal judge to reject Broadcom's request to ban its chips in the U.S.Ã‚Â The ITC imposed the ban in June after finding that Qualcomm infringed on a patent that protected Broadcom's technology to conserve phone battery power, and the Bush administration declined to veto it this month.

Qualcomm is adamant about not paying what Broadcom is requesting: $6 for each handset sold with technology based on the disputed patent. The company, which makes a substantial amount of money from patents, says such an agreement would cost the company between $1.5 billion and $2 billion during the three years remaining on the patent.

Moreover, a federal judge ruled earlier this month that Qualcomm engaged in "aggravated litigation abuse" and waived its rights to enforce certain video transmission technology patents related to the H.264 video compression standard used in some high definition products. The court ordered Qualcomm to pay all of Broadcom's fees and costs in defending the patent infringement case.

With all of this bad publicity, you'd think Qualcomm's stock was taking a beating-that all of these losses would be scaring the pants off investors. But at the end of Friday, the stock was up 1.65 percent or 61 cents to $37.54. Most analysts aren't downgrading the stock, but rather reiterating their "buy" ratings.Ã‚Â In a recent note, Goldman Sachs said it is keeping its "buy" rating in the midst of the litigation because of the company's positive fundamentals and its opinion that a resolution is inevitable. In the Broadcom ITC case, the firm said none of the possible outcomes meaningfully impact Qualcomm. In terms of Nokia, Goldman Sachs believes that Qualcomm holds significant negotiating leverage that could result in a favorable outcome for Qualcomm.

UBS noted in reiterating its "buy" rating that those "investors with tolerance for volatility are likely to be rewarded in the longer run."

The good news for Qualcomm is that since its fundamentals remain strong and analysts who recommend its stock aren't too worried yet, the company has a bit more wiggle room to try and maneuver itself out of its patent disputes. The question is: How long? -Lynnette

Does Qualcomm's workaround work?

Fri, 10 Aug 2007 06:59:59 -0400

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Does Qualcomm's Workaround Work?Ã‚Â
Qualcomm's answer to the U.S. International Trade Commission ban on the import of certain cell phones containing the firm's 1xEV-DO and WCDMA chip sets is a software "workaround" that the firm says doesn't infringe on any Broadcom patents.

Sprint Chairman and CEO Gary Forsee said during the firm's second quarter earnings call earlier this week that Sprint was exploring its options, which included using the Qualcomm technology solution. Qualcomm says other carriers and OEMs are following suit. But does the workaround work?

Yesterday during an RBC Capital Markets North American Technology Conference in San Francisco, Verizon CTO Dick Lynch cast some doubts on the vendor's patent infringement fix. Lynch said that the Qualcomm workaround only solved a problem with one patent but issues with other patents remained. And he said that the workaround "didn't meet the reputation requirements of our network."

Of course, Lynch may have been trying to justify his firm's agreement to pay up to $200 million to Broadcom to ensure that the carrier isn't infringing on the patents. "For us, this was a way to take the risk out of our business. I needed a resolution for my customers and my business," Lynch said, adding that the firm is no longer having conversations about getting devices that use the workaround.

And Verizon may not be alone. The Wall Street Journal reported earlier this week that AT&T had inked a similar deal with Broadcom, although the details have not been confirmed.

Qualcomm, meanwhile, defends its workaround software. "We are confident in the technical performance of the new software. Customer acceptance of the new software has been strong," the firm said in a statement to FierceWireless.

The technology firm better make sure that its workaround solution is a fix--and soon. Not all operators can follow Verizon's lead and pay royalties to Broadcom to avoid any disruptions to their handset lineup. Sprint seems intent upon using the workaround and I suspect that many Tier 2 and Tier 3 operators are counting on this remedy as well. -Sue

Bush upholds ITC ban

Tue, 07 Aug 2007 06:59:58 -0400

In another crushing blow to Qualcomm, the Bush Administration yesterday upheld the U.S. International Trade Commission ruling that banned the import of certain cell phones containing Qualcomm 1xEV-DO and WCDMA chip sets. The ITC previously ruled that the chips infringed on Broadcom patents.

The ban, which goes into effect today, means that some operators may have difficulty getting new phones that contain the chips. Sprint will probably feel the most immediate impact from the ban. Verizon circumvented the problem by cutting a deal with Broadcom last month in which it will pay up to $200 million to ensure that it can still import handsets.

Qualcomm has responded to the news by saying that it will pursue the appeal and stay request with the Federal Circuit Court of Appeals. The company says that it is using alternative software designed to workaround the ban and that this solution will avert any possible disruption during the fourth-quarter holiday buying season.

For the latest on the ITC ban:
- see this AP article
- see this BusinessWeek article

For a recap of Fierce's coverage on the ban, see these related articles:
VZW inks Broadcom deal, won't fight ITC ban. Article
CTIA outlines impact of Qualcomm ban. Article
ITC ban detrimental to Qualcomm, wireless industry. Editor's Corner
ITC may ban all EVDO handsets imported to the U.S. Feature

Qualcomm loses powerful ally in ITC dispute

Fri, 20 Jul 2007 06:59:59 -0400

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Qualcomm loses powerful ally in ITC dispute

In a surprising move, Verizon Wireless yesterday announced that it had entered into a licensing deal with Broadcom Corp. so it can continue to import and sell devices that are the subject of a patent dispute between Broadcom and Qualcomm.

As we've reported, the International Trade Commission earlier this summer ruled in favor of Broadcom and issued a ban on the import of new cell phones made with Qualcomm 1xEV-DO and WCDMA chipsets. The ITC said those chipsets infringe upon patents held by Broadcom.

Verizon has agreed to pay Broadcom to use the disputed chip technology in its phones. The carrier says it will pay Broadcom a rate of $6 per 1xEV-DO handset, PDA or data card sold after the effective date, subject to a maximum payment of $40 million per calendar quarter and a lifetime maximum payment of $200 million.

I talked to Nancy Stark, spokeswoman at Verizon Wireless, about the news late yesterday and she said that the carrier decided to go this route so that it could take its customers out of the middle of this patent dispute. "We made sure our supply chain wouldn't be interrupted," Stark says.

I'm sure other carriers are concerned about their supply chain. Although Qualcomm is downplaying the impact of this licensing deal, calling it a "positive development," this news has some huge implications for the San Diego firm. I would suspect that other wireless carriers will follow Verizon's lead and announce similar deals with Broadcom. After all, the fourth-quarter holiday buying season is approaching and U.S. carriers need to be able to secure 3G-enabled handsets for their holiday portfolios. Added to this mix is the tremendous popularity of Apple's iPhone. I'm sure that AT&T's competitors are anxious to add the latest consumer-friendly, tech-savvy 3G devices to their lineups so that they can compete with the iPhone frenzy. Keeping their customers from fleeing to other operators will likely provide enough incentive for operators to pony up some cash in exchange for handsets with the disputed chip technology.

If more operators go the Verizon route and ink deals with Broadcom, it will certainly negatively impact Qualcomm's ability to get a presidential veto on the ITC ban. Qualcomm, of course, argues that Verizon's deal with Broadcom doesn't solve the problem and that there are still millions of consumers that will be impacted by the ban. The San Diego firm is also playing the critical public safety card, saying that public safety will be negatively impacted by the ban. I think this latest move by Verizon makes Qualcomm's long-shot chance at a presidential veto of the ITC ban even more unlikely. -Sue

Ban on Qualcomm's 3G chips: $21.1B at stake?

Mon, 16 Jul 2007 06:59:54 -0400

As the White House ponders whether to veto the International Trade Commission's ban on mobile devices containing Qualcomm's 3G chipsets, the Cellular Telecommunications & Internet Association (CTIA) renewed its concern about the impact of the ban, citing a report from The Brattle Group that says $21.1 billion could be at stake for U.S. consumers and producers.

"CTIA-The Wireless Association is deeply concerned that the ITC order banning new models of wireless broadband handsets will cause unprecedented economic harm to tens of millions of American wireless consumers, and because of that we urge President Bush to veto the order," said CTIA CEO Steve Largent.

The ITC banned the import of new cell phones made with Qualcomm 1xEV-DO and WCDMA chipsets. The ITC says those chipsets infringe upon patents held by Broadcom. Qualcomm is pursuing a presidential veto and an appeal in federal court. White House vetoes of ITC orders are rare, with the last such presidential veto of an ITC decision coming more than 20 years ago. The White House has until August 6 to act on the request for a veto.

The Brattle Group analysis concludes that the ITC order will cause direct economic damage to U.S. consumers and producers, ranging between $4.3 billion and $21.1 billion and will cause billions more in lost productivity across the U.S. economy. The direct economic harm to consumers alone could be as high as $17.7 billion, the report says.

For more about CTIA's concerns and The Brattle Group's report:
- read this release
- check out the report

DoCoMo teams with AT&T on Hawaii market

Thu, 12 Jul 2007 06:59:55 -0400

Japanese tourists will get the benefit of a 3G network in Hawaii thanks to an unusual agreement between NTT DoCoMo and AT&T. Japanese carrier NTT DoCoMo says that it will spend $24 million to help upgrade AT&T's network in Hawaii to W-CDMA. AT&T will launch the upgraded network on the island of Oahu later this year and statewide next year.

The reason for the deal is to give Japanese tourists the ability to use their cell phones in Hawaii. Currently DoCoMo handsets aren't backward compatible with AT&T's existing 2G GSM network. Because Hawaii is a major holiday destination for Japanese tourists, DoCoMo has decided to make this investment and help promote roaming between the two operator's networks.

Last year NTT DoCoMo made a similar investment when it acquired Guam Cellular & Paging and upgraded the wireless network to W-CDMA to help promote its roaming business. Guam is another major tourist destination for Japanese.

To learn more:
- read this press release
- read this InfoWorld article