Nokia pulls out of CDMA business as battle with Qualcomm intensifies
-
Published:
Week 26
June 2006 -
Image Source:
Nokia
News:
has announced that it will not proceed with a joint venture for the development and manufacture of CDMA phones with Sanyo which it announced in February 2006.
It stated that “the terms and conditions of the proposed partnership were not satisfactory and in the best interests of Nokia’s long term success.”
Critically Nokia also commented that “in addition to an already financially prohibitive CDMA ecosystem in general, recent developments may indicate that the CDMA emerging markets business case is looking more challenging.”
Nokia now plans to exit the CDMA business by April 2007 only participating in key markets like North America through partnerships with original design manufacturers (ODM) such as Pantech. It will also continue to license its CDMA related intellectual property to Kyocera and others.
