For Qualcomm, More Than Legal Problems

The Wall Street Journal writes about mounting legal woes of Qualcomm, which is being sued by almost everyone in the mobile hardware business, especially chip and handset makers. While that might be an issue, it might not be the only issue, and perhaps not the real challenge facing the company. Qualcomm has an army of attorneys for precisely this kind of situation and have spent million preparing for a legal smack down.

WSJ, should have perhaps focused on other and perhaps the real challenge ahead of Qualcomm: some of its fast growing markets are planning to build GSM overlays on their CDMA networks. Brazil and India are two examples. South Korea wants its wireless future to be Q-Free and well, Sprint has made its WiMAX decision. I think those are the big issues, not those pesky lawsuits by competitors. That’s business as usual in the chip industry.

Some good news for Qualcomm though:

1. 3G subscriptions, including CDMA2000, are forecast to hit 285 million by the end of 2006, according to ABI Research’s Asia-Pacific director, Jake Saunders. As we all know 3G is a loosely defined term, so that just might be right.
2. Couple of South Asian countries are seeing some hefty CDMA growth and are rolling out new services.

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