Qualcomm 2011 Annual Report Download - page 7

industry;
We also generate revenues by licensing portions of our intellectual property to manufacturers of wireless pro ducts, such as mobile devices,
also known as subscriber units, which include handsets, other consumer devices (e.g., tablets, personal computers, e-readers), machine-to-
machine devices (e.g., telematics devices, meter reading devices) and data modem cards, the infrastructure equipment required to establish and
operate a network and network and test equipment. Our licensing revenues are comprised of fixed license fees (payable in one or more
installments) and ongoing royalties on products sold by our licensees that incorporate our patented technologies.
Our Integrated Circuits Business. We develop and supply integrated circuits and system software based on CDMA, OFDMA and other
technologies for use in voice and data communications, networking, application processing, multimedia functions and global positioning system
products. Our integrated circuit products and system software are sold to or licensed to manufacturers that use our products in wireless devices,
particularly mobile phones, tablets, laptops, data modules, handheld wireless computers and gaming devices, access points and routers, data
cards and infrastructure equipment, and in wired devices, particularly broadband gateway equipment, desktop computers, televisions and Blu-
ray
players. The Mobile Station Modem (MSM) integrated circuits, which include the Mobile Data Modem, Qualcomm Single Chip and Qualcomm
Snapdragon devices, perform the core baseband modem functionality in wireless devices providing voice and data communications, as well as
multimedia applications and global positioning functions. In addition, our Snapdragon enabled integrated circuits provide advanced application
processing capabilities. Our system software enables the other device components to interface with the integrated circuit products and is the
foundation software enabling manufacturers to develop devices utilizing the functionality within the integrated circuits. Our infrastructure
equipment Cell Site Modem (CSM) integrated circuits and system software perform wireless standards-compliant processing of voice and data
signals in the wireless operator’s base station equipment to and from wireless devices. Because of our experience in designing and developing
CDMA- and OFDMA-based products, we not only design the baseband integrated circuit, but the supporting system as well, including the RF
devices, PM devices and accompanying software products. This approach enables us to optimize the performance of the wireless device with
improved product features and integration with the network system. We also provide support, including reference designs and tools, to enable
our customers to reduce the time required to design their products and bring their products to market faster. We plan to add additional features
and capabilities to our integrated circuit products to help our customers reduce the costs and size of their products, to simplify our customers’
design processes and to enable more wireless devices and services.
Our Licensing Business. We grant licenses to use portions of our intellectual property portfolio, which includes certain patent rights
essential to and/or useful in the manufacture and sale of certain wireless products, and collect fixed license fees and ongoing royalties in partial
consideration for such licenses.
Our Wireless Device Software and Related Services Business. We provide software products and services for the global wireless industry.
Our Brew products and services enable wireless operators, device manufacturers and software developers to provide over-the-air and pre-loaded
wireless applications and services. Our Plaza products and services enable wireless operators, device manufacturers and publishers to create and
distribute mobile content across a variety of platforms and devices. We also offer Xiam wireless content discovery and recommendation
products to help wireless operators improve usage and adoption of digital content and services and QChat, a push to talk product optimized for
third generation (3G) networks.
Our Asset Tracking and Services Business. We design, manufacture and sell equipment, license software and provide services to our
customers to enable them to connect wirelessly with their assets, products and workforce. We offer satellite- and terrestrial-based two-way
wireless connectivity and position location services to transportation and logistics fleets and other enterprise companies to enable our customers
to track the location and monitor the performance of their assets, communicate with their personnel and collect data.
Our Mobile Commerce Business . In fiscal 2011, we launched a new product application trademarked as SWAGG, which is marketed on a
standalone basis directly to consumers. SWAGG’
s core features include access to merchant loyalty accounts and gift card balances, purchase and
gift of virtual stored-value gift cards and access to relevant and targeted offers from participating merchants.
Our Display Business. We continue to develop display technology for the full range of consumer-targeted mobile products. Our
interferometric modulator (IMOD) display technology, based on a MEMS structure combined with thin film optics and sold under the “mirasol”
brand, is expected to provide performance, power consumption and cost benefits as compared to current display technologies.
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• Equipment, software and services used by companies, including those in the transportation industry and governments, to wirelessly
connect with their assets and workforce;
• Software products and services that enable mobile commerce services; and
• Software and hardware development services.