The Hindu Business Line : Qualcomm to help set up CDMA handset unit

Qualcomm Inc has told the Union Communications and IT Minister, Mr Dayanidhi Maran, that the company would enable setting up of Code Division Multiple Access (CDMA) handset manufacturing unit in the country. The company also said that it was working towards enabling cheaper CDMA handsets apart from leveraging its research and development centres in India for Qualcomm's global requirement by increasing the headcount.

After a closed-door meeting with Mr Maran, Qualcomm's Chief Executive Officer, Dr Paul Jacobs, said, "We had a discussion on manufacturing. I cannot disclose details, as we now have to go back to do a lot of work before that happens. We are actually going to get more manufacturers to the market."

Dr Jacobs said that Qualcomm would come in with design, the latest chipset, and hardware with engineering resources to enable local manufacturing. While the company does not manufacture handsets directly, it gives licences to companies such as LG and Samsung to produce CDMA handsets.

During the meeting, Mr Maran is understood to have told Qualcomm to remove all bottlenecks hindering the growth of CDMA services in the country. The Communications Ministry had earlier indicated that high royalty charges being paid to Qualcomm were coming in the way of cheaper handsets. Dr Jacobs said that there was a meeting of minds with Mr Maran over the issue. "More than affecting a reduction in the royalty charges, we would look to bringing down the cost of handsets through technological innovations."

Meeting with Anil Ambani

India's leading CDMA player Reliance Communications has also demanded a cut in royalty payments to Qualcomm. Reliance has even proposed to shift to the rival GSM technology. Mr Jacobs is expected to meet Mr Anil Ambani on Thursday in Mumbai.

More Stories on : Telecommunications | Outlook

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
Suzlon gets shareholder nod to raise Rs 5,000 cr

Ratan Tata meets Maran

Qualcomm to help set up CDMA handset unit

Plaints filed against H-1B specific ads

Close-ended equity funds may give rise to new wave of NFOs

India Infoline: Up on value pick

GE Shipping sails on `demerger nod'

Pfizer Q2 net soars 132 pc on plant sale

ADR/GDR rules relaxed for unlisted cos

Edgy Sensex ends marginally weak

Derivative transactions: RBI says banks must make full disclosure

Tata Coffee mulls SPV to fund Eight O'Clock buy

Beware of malicious attacks via hoax SMS

Centre notifies ban on pulses export

Pocket