SAN DIEGO -- May 18, 1999 -- Qualcomm Incorporated (Nasdaq: QCOM) today announced that demand for its Code Division Multiple Access (CDMA) chipsets and phones in the third fiscal quarter is stronger than the second fiscal quarter ended March 27, 1999. Also, actual royalty reports received to date from the Company's licensees for the second fiscal quarter exceed the accrual for the corresponding royalties accrued in the second fiscal quarter. Based on current performance in each of its business units, the Company expects that third fiscal quarter performance will meet or exceed current analyst estimates, excluding non-recurring charges.
"We are pleased that CDMA networks have grown to over 30 million subscribers in 27 nations," said Richard Sulpizio, president and chief operating officer of Qualcomm. "This rapid growth has led to an increase in demand for CDMA products as reflected in the increased product shipments by ourselves and our licensees."
Qualcomm Incorporated (Nasdaq: QCOM) is a leader in developing and delivering innovative digital wireless communications products and services based on the Company's CDMA digital technology. The Company's major business areas include CDMA phones; integrated CDMA chipsets and system software; technology licensing; and satellite-based systems including OmniTRACS® and portions of the Globalstar™ system. Headquartered in San Diego, Calif., Qualcomm is a FORTUNE 500® company with fiscal 1998 revenues in excess of U.S. $3 billion. For more information, please visit the Company's web site at http://www.qualcomm.com.
Except for the historical information contained herein, this news release contains forward-looking statements that are subject to risks and uncertainties, including continued strong demand for CDMA phones and chipsets and growth in CDMA subscribers and systems, the ability of the Company's licensees to sell CDMA products, timely product development, the Company's ability to successfully manufacture significant quantities of CDMA or other equipment on a timely and profitable basis, and those related to performance guarantees, change in economic conditions of the various markets the Company serves, as well as the other risks detailed from time to time in the Company's SEC reports, including the report on Form 10-K for the year ended September 27, 1998, and most recent Form 10-Q.
Qualcomm and OmniTRACS are registered trademarks of Qualcomm Incorporated. Globalstar is a trademark of Loral Qualcomm Satellite Services, Incorporated. All other trademarks are the property of their respective owners.