The Hindu Business Line : Qualcomm set to offer affordable 3G devices

New Delhi, April 27 In a bid to make third-generation mobile and broadband services affordable, US-based technology major Qualcomm is taking a slew of initiatives, including an Internet access device priced at around Rs 8,000. The company also plans to launch a USB port priced at around Rs 3,500 to access high-speed wireless broadband on laptops or PCs. While 3G services are yet to enter the country, Qualcomm is already gearing up to provide the end-devices at affordable rates.

“We are ready for 3G. We have the devices, and using our single chip solution we have been able to arrive at a price point that is suited to the Indian market. Once the policy is announced and operators start rolling out 3G services, we will make sure that consumers are able to take benefit of this technology,” Mr Kanwalinder Singh, President, Qualcomm India and South Asia told Business Line.

Wireless data access

The USB port based on HSDPA technology is expected to be launched in the fourth quarter of 2008. “Our success with CDMA-2000 based USB ports has proved that there is a demand for wireless data access devices. We will replicate that success in the 3G segment by pricing the USB port at less than Rs 3,500,” Mr Singh said. CDMA-based wireless data cards have been a huge hit in the country with as many as 5 million subscribers. Qualcomm also plans to introduce smart phones priced less than Rs 10,000 and based on multi-operating systems such as Windows, Linux and Android.

On the low-cost Internet access device, Mr Singh said the aim is to enable consumers to access broadband without having to invest in a laptop or PC. The product is in the design stage. Qualcomm is also in talks with Indian mobile operators to launch carrier branded 3G handsets. “Operators such as Vodafone and Hutchison have their own handset brands for 3G services in Europe. In India too we think that Indian GSM operators will launch 3G services bundled with their own branded handsets. We are in talks with them to work out the deal with an OEM (original equipment manufacturer),” Mr Singh said. Qualcomm is in talks with Indian handset brands such as Spice to launch 3G-enabled handsets.

Revenue potential

While Qualcomm has so far focused on developing the CDMA market, rollout of 3G services will fetch the company huge revenues as it owns a significant number of patents for devices in both EVDO and WCDMA technologies. Qualcomm does not manufacture the devices on its own but gives licence to OEMs and handset companies such as LG and Samsung “With nearly 50 million CDMA handsets being sold in the country, India is already in the top five market for Qualcomm globally. The introduction of 3G will significantly improve India’s contribution to Qualcomm’s global revenues,” Mr Singh said.

With at least four pan-Indian CDMA operators and another six GSM operators waiting to launch 3G services, Qualcomm is hoping to gain a larger share of the handset and devices market.