Qualcomm 1999 Annual Report Download - page 12

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Our CDMA technology got its start
in the world through our strong
leadership in the wireless market.
Now we are taking our Company
to the next level by once again
focusing on our core competen-
cies in CDMA technology.
We have commercialized wireless
voice technology and continue to
supply the semiconductor chips
that drive the worldwide growth
of those markets. Now we have
some big ideas for using our CDMA
expertise to enable other wireless
communications applications to
grow and evolve.
Enabling Technologies
Our first commercial venture, the
OmniTRACS system, has now stream-
lined operations for many of the
major trucking firms in the U.S., and
contributed significantly to highway
safety along the way. The system
enables transportation companies
to manage fleet information, track
truck locations and provide personal
communications services to their
drivers. The division was renamed
QUALCOMM Wireless Business
Solutions (QWBS) this year to reflect
its evolving mission. As part of the
division’s commitment to develop
new products and serve expanded
markets, QWBS entered into exciting
development deals with Symbol
Technologies, ORBCOMM and others.
QWBS had its most profitable year ever in fiscal 1999, shipping more than
48,000 OmniTRACS systems and passing the 300,000 mark for units sold
worldwide. There were major new contracts in Brazil, Argentina and the
U.S. In fact, we gained 200 new customers and 90 current customers
renewed their commitments. Shortly after the end of the fiscal year, the
People’s Republic of China agreed to allow us to bring our OmniTRACS
system to their country.
QUALCOMM is a founding member of the Globalstar consortium, a constellation
of Low-Earth Orbiting (LEO) satellites that enables wireless communications
from virtually anywhere on the globe. The newly renamed QUALCOMM
Wireless Systems Division (QWS) provides contract services to Globalstar
by building and maintaining terrestrial ground stations (gateways) for the
system. QWS has now shipped 38 gateways around the world. We are proud
to report that after a decade of research and development activities, the
first phase in the commercial launch of the service took place in the
closing months of 1999.
QWS also designs and manufactures satellite phone solutions for Globalstar.
After more than a million test calls on our handheld and fixed Globalstar
phones, we were awarded approvals by the leading regulatory authorities
in four continents, which paves the way for unrestricted use of our phones
across all international borders.
This service is designed to enable people in remote and underserved
locations in more than 100 countries to become connected to the world-
wide global communications network.
QUALCOMM develops enabling technologies for people with big ideas and
the potential social and economic benefits are evidenced daily in the mar-
ketplace. For example, our digital compression and network management
technologies may enable movie viewers to have a flawless film-going
experience in the future. Our Digital Media Division (QDM) is contributing
to a movie industry effort to develop a practical “all-digital” cinema. This
promising new format was demonstrated this year when special test
screenings were conducted. As a developer for the “Condor Project,” the
QDM Division is also enabling government clients to have secure wireless
phones with encryption and a net broadcasting capability that incorporates
end-to-end encryption.