Audiovox 2001 Annual Report Download - page 8

Audiovox Communications Corporation (ACC) is the pace setter for
the design, development and sales of cutting-edge handsets and wire-
less communications technologies. A 95-percent owned subsidiary of
Audiovox Corporation, 2001 revenues for wireless reached $966.7 mil-
lion, or 76% of the Corporation’s yearly total.
ACC maintained a strong position by garnering a 14.5-percent market
share of the CDMA (code division multiple access) handset markets in
the U.S., according to the highly respected industry analyst, Dataquest.
Moreover, in terms of overall wireless handset sales, Audiovox was
ranked within the top four phone-providing companies, according to
Dataquest figures.
As a manufacturer without a factory, Audiovox works closely with both its
customers and suppliers in the design, development and testing of ACC
products. All Audiovox products are tested in the company’s own state-
of-the-art facilities to ensure complete compliance with our own exacting
standards. Plus, we supervise testing in our carriers’ markets to ensure
that they adhere to our customers’ most rigid specifications.
By combining our engineering and support capabilities with that of our
manufacturing partners, ACC is able to provide its customers with the
latest technology advances. Currently, we supply CDMA, TDMA and
GSM wireless products to our global clients.
Worldwide in Scope
Across America and around the world—from Sydney, Australia to
Sydney Mines, Nova Scotia, Canada—Audiovox focuses its efforts on
meeting the changing product needs of wireless carriers and con-
sumers. From entry-level handsets to the most sophisticated and power-
ful data and voice-capable Pocket PCs, Audiovox leads the way in
keeping everyone connected in this wireless world.
ACC markets its products worldwide, maintaining operations centers
and/or sales offices in the United States, Canada, Japan, Korea, Taiwan,
Peru, Venezuela, and the Netherlands. ACC sells its wireless products
to wireless carriers and their respective agents, distributors and retailers.
Audiovox’s key customers, during 2001, included Verizon Wireless,
Sprint PCS, Canada’s Telus Mobility and Bell Mobility, Alltel, U.S. Cellular,
Qwest, Cricket, Northcoast and PrimeCo.
A Straightforward Approach to Business
At ACC, our primary business objective is to increase company earnings
by expanding into new technologies and products.The culmination of these
efforts enables ACC to make inroads into new and existing markets around
the world, substantially increasing corporate business opportunities.
To accomplish this, ACC leverages its competitive strengths to maximize
the opportunities afforded by key trends in the global wireless communi-
cations industry. The key components of this strategy include:
• Expand wireless technology offerings to increase market opportunities
• Capitalize on the Audiovox brand name
• Expand and broaden ACC’s global presence
• Continue to provide added value to ACC customers and suppliers
Laying the Groundwork for 2002 and Beyond
During 2001, Audiovox set in place the foundation for an economic and
business resurgence during Fiscal 2002. The design, development,
introduction, implementation and sales of new 1X-centered products
and technologies, during 2001, have positioned ACC to be able to max-
imize the technological and product opportunities that will present them-
selves during 2002.
ACC’s increasing commitment to wireless communications has enabled
the company to be first-to-market with a 3G GPS-based location tech-
nology product that will enable its carrier partners to meet their federally
mandated E911 requirements and meet the needs of their new 1X
transmission technologies. Also, ACC’s Web-enabled Pocket PC intro-
ductions, Maestro and The¯ra, sold exclusively through wireless carriers
and their designated retailers, are designed to enable these ACC cus-
tomers to meet their ever-increasing data initiatives.
TECHNOLOGY
TECHNOLOGY