SAN DIEGO -- December 6, 2002 -- Qualcomm Incorporated (Nasdaq: QCOM), pioneer and world leader of Code Division Multiple Access (CDMA) digital wireless technology, today updated its outlook for MSM™ phone chip shipments in its first fiscal quarter ending December 29, 2002 and in its second fiscal quarter ending March 30, 2003.
First Quarter Fiscal 2003
Based on firm orders, the Company now expects to ship at least 28 million MSM phone chips during the first quarter of fiscal 2003, exceeding its previous estimate of 25-27 million MSM shipments. Approximately 80 percent of unit shipments in the first fiscal quarter are expected to be third-generation (3G) CDMA2000 1X MSM phone chips. Shipments in the first quarter of fiscal 2002 (ending December 30, 2001) were approximately 15 million units, which would represent a year-over-year increase of 87 percent.
Second Quarter Fiscal 2003
Based on its current outlook and firm orders, the Company expects to ship approximately 24-27 million MSM phone chips in the second quarter of fiscal 2003 (ending March 30, 2003), compared to its previous estimate of more than 20 million MSM shipments. Greater than 80 percent of unit shipments in the second fiscal quarter are expected to be 3G CDMA2000 1X MSM phone chips. Shipments in the second quarter of fiscal 2002 (ending March 31, 2002) were approximately 14 million units, which would represent a year-over-year increase ranging from 71 percent to 93 percent. The Company will update its guidance for the second fiscal quarter and the fiscal year during the first fiscal quarter's conference call scheduled for January 22, 2003.
"Our growth expectations are again being exceeded as cdmaOne and CDMA2000 1X networks continue to experience rapid growth and success in global markets," said Dr. Irwin Mark Jacobs, chairman and CEO of Qualcomm. "We believe the continued growth of CDMA networks compared to other technologies primarily stems from the attractiveness to consumers and operators of 3G-enabled CDMA2000 1X handsets and the superior performance of CDMA systems."
Qualcomm Incorporated (www.qualcomm.com) is a leader in developing and delivering innovative digital wireless communications products and services based on the Company's CDMA digital technology. Headquartered in San Diego, Calif., Qualcomm is included in theS&P500 Index and traded on The Nasdaq Stock Market® under the ticker symbol QCOM.
Except for the historical information contained herein, this news release contains forward-looking statements that are subject to risks and uncertainties, including but not limited to: changing global economic conditions, particularly in the telecommunications and Internet-related industries and the resulting uncertainty in forecasting future results; timing and receipt of license fees and royalties; integrated circuit order and shipment levels; the Company's ability to sustain or improve operational efficiency and profitability, the extent and speed to which CDMA is deployed, as well as the other risks detailed from time to time in the Company's SEC reports.