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UMTS MARKET & QUALCOMM SOLUTIONS

Prepared for Agilent UMTS Handset Designer Forum24th Feb 2005Seoul, Korea

QUALCOMM CDMA Technologies KOREA

Wireless: Key Growth Driver for Semiconductor Industry

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1 Extending Voice Services into emerging marketsExtending Voice Services Extending Voice Services into emerging marketsinto emerging markets

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Increasing Tele-density

3G Network Deployments around the globe: DO, DV, WCDMA

3G Network Deployments 3G Network Deployments around the globe: DO, DV, around the globe: DO, DV, WCDMAWCDMA

Combining location & mobility with audio, camera, video & gamingCombining location & mobility with Combining location & mobility with audio, camera, video & gamingaudio, camera, video & gaming

20082.2 billion voice users

20081.3 billion data users

2008576 million MMS users

Source: Yankee Group, Jan ‘04

Migrating Voice to Data

Converging Multimedia & Mobility

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QUALCOMM CDMA Technologies KOREA

• Future

• Broadcast Media• Location-based Services• Network-based Gaming• PTT, multimedia

New Uses for Wireless Are EmergingEvolution of Wireless Industry Services

Broadcasting MediaVideo Telephony

• Past

• Mobility• Roaming• Increased capacity• Voice quality

• Present• Ring tones• Photo messaging• Video-On-Demand• Broadband Access• Video Telephony

QUALCOMM CDMA Technologies KOREA

3G CDMA EVOLUTION – TODAY & TOMORROW•2006•2005•2004•2003•2002•2001

Designed for In-Band Migration

3G CDMA

IS-2000 Release 0

1.25 MHzVoice & Data

CDMA2000 1xEV-DO1.25 MHzOptimized

for Data

Designed for New Spectrum

WCDMA(UMTS)3GPP Release 99

5 MHzVoice & Data

• Double voice capacity• 153.6 kbps packet data

• Dedicated for packet data• 2.4 Mbps peak rates (fwd link)• 1x reverse link rates

• 384/384 kbps packet data• Simultaneous voice & data

IS-856 Revision 0

Rel. 4

HSDPA

– Additional voice capacity doubling– Terminal antenna diversity

Rel. 5

Revision A

•307 kbps packet data–Simultaneous voice and data

•DO Gold Multicast, QoS, IMM, video telephony

3.1 Mbps fwd link1x reverse link rates

14.4 Mbps downlink

Revision A

3.1 Mbps fwd link1.8 Mbps reverse link

•3.1 Mbps fwd link•1.8 Mbps reverse link

Enhanced EV-DO

CDMA2000 1X

Rev. C Rev. D

1xEV-DV

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QUALCOMM CDMA Technologies KOREA

3G OPERATOR EVOLUTION CHOICE

Source : UMTS Forum 2004

QUALCOMM CDMA Technologies KOREA

Operators Benefiting From Transition to 3G

5.6%

12.0%

17.0%18.8%

7.7%

14.9%12.4%

10.4%

Dec'01 Dec'02 Dec'03 Aug'04

SKT KTF

Source: Monthly Fact Sheets, SKT, KTF, NTT DoCoMo

$72.83 $71.85

$91.51

$63.90$69.71

$85.88

Jun'02 Jun'03 Jun'04

PDC FOMA (WCDMA)

NTT DoCoMoTotal ARPU

SKT and KTF Percentage of Data ARPU

31% increase in FOMA ARPU in 2 years

36% increase in SKT and 94% increase in KTF

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QUALCOMM CDMA Technologies KOREA

3G UMTS TODAY

Source : UMTS Forum 2004

QUALCOMM CDMA Technologies KOREA

3G LEADING TECHNOLOGY is UMTS

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QUALCOMM CDMA Technologies KOREA

UMTS MARKET KEY POINTS

• WW TOTAL ACCUMULATED MOBILE SUBS GROWTH• TOTAL SUBS to REACH around 2.1Billion by YR2008• SUBS SATURATION in DEVELOPED Regions (Europe, US, Developed Asia)• Subs growth come from EMERGING MARKETS (India, LATAM …)

• WW MOBILE HANDSET MARKET FORECAST• Total Handset Sales to reach over 700Million from YR2006• GSM/GPRS will be major• CDMA Handset volume could saturate• WCDMA Handset volume will increase

• UMTS HANDSET ASP TREND• UMTS Handset ASP will drop dramatically• ASP Drop Factors

• Competition• Introduction of Low Cost Phones for Market Share• Mass Volume• Moore’s Law

120240CY08

80160CY07

60120CY06

4060CY05

1020CY04

EuropeWWMu

• UMTS MARKET SIZE ESTIMATES

QUALCOMM CDMA Technologies KOREA

Movie Screen TV Screen Phone Screen

MULTIMEDIAThe Next Driver of Wireless

The Third Screen is Here and Always With You

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QUALCOMM CDMA Technologies KOREA

News

Ring Tones

Entertainment

Sports

Multiplayer Gaming

Position Location

Push to Talk

Photo Sharing

Email

Video Monitoring

Wireless Enables Many New Multimedia Applications

QUALCOMM CDMA Technologies KOREA

Wireless Growth Drivers for 3G DevicesIncreasing multimedia and computing functionality

INTEGRATED 3G DEVICE CAPABILITY

Audio: MIDI MP3 AAC/ AAC Plus

Video: 15 fps QCIF 15 fps CIF 30 fps VGA

Camera: .3 Megapixel 1M - 3M-pixel 4-6 M-pixel

Graphics: 50k triangles 100k triangles 1M triangles

Display: QQVGA QVGA VGA

Multimedia Features

Processor: ARM7 ARM9 ARM9 + ARM11

Speed: 40 MHz 150 - 225 MHz 500 MHz - 1 GHz

Processor Speeds

Source: QUALCOMM

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QUALCOMM CDMA Technologies KOREA

Worldwide UMTS Frequencies

• China1. UMTS21002. UMTS1800

• SE Asia1. UMTS21002. UMTS1800

• Korea1. UMTS2100

• Japan1. UMTS21002. UMTS17003. UMTS800

• Europe1. UMTS21002. UMTS18003. UMTS900

• North America

1. UMTS19002. UMTS850

QUALCOMM CDMA Technologies KOREA

MemoryMemory

MicroMicro--ProcessorProcessor

GSM/GPRSGSM/GPRS

DSPDSPGPSGPS

3D Graphics3D Graphics

VideoVideo

AudioAudio

ImagingImaging

CDMACDMA

DSPDSP

147

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258

369

*0

RF PM

What is in a QUALCOMM Chipset?

A Leader in delivering Wireless SolutionsA Leader in delivering Wireless SolutionsAlways striving to achieve Semiconductor ExcellenceAlways striving to achieve Semiconductor Excellence

• Smaller Form Factor• Enhanced System Performance• Highly Integrated Applications• Greater Quality & Reliability• Reduced Power Consumption• Lower Overall Costs• Faster Time to Market

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QUALCOMM CDMA Technologies KOREA

QCT Path Toward Greater Integration

Single-chip SolutionMultimedia IntegrationradioOneTM

Baseband with integrated co-processor

Baseband with integrated co-processor

MemoryPower Mgmt.

RF

Baseband + RF Rx & Tx + PMIC | 4 Chips

Single ChipBaseband + RF + PMIC |

1 ChipRinger Chip

Video ASIC

3D Gaming

ASIC

Camera Module

with DSP

Apps Co-proc.

QUALCOMM CDMA Technologies KOREA

Platform Strategy | New Products, Greater Traction

Announced Devices: 6275, 6280 [HSDPA], 6700, 6800Sampled Devices: 6550 [1xEV-DO]

Devices Optimized for Multimedia Applications

Enhanced processing speeds and display capabilities to drive on-phone content creationAnnounced Devices: 7200, 7500, 7600

Wireless Technology Merge w/ Consumer Electronics

Customer Traction: 30+ design wins for 6000/6025, 10+ designs for 6200 [WCDMA]

Low-Cost Entry Devices

Announced Devices: 6225, 6255 [WCDMA] Customer Traction: 80+ 6100 [1X] designs; 20+ 6250 [WCDMA] designs

Feature-Rich, Data Enabled Devices

PRODUCT DEVELOPMENT & EXECUTIONPLATFORMS

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QUALCOMM CDMA Technologies KOREA

Expanding WCDMA Product Portfolio

Commercially available, broad customer adoption

Launching with multiple carriers in 2004/2005

Leading HSDPA Solutions

Higher processing speeds supporting on-phone creation• Dual CPU On-Chip

Voice & full data

Integrated EDGE

QUALCOMM CDMA Technologies KOREA

UMTS RF Integration

UMTS2100GSM/GPRS1800GSM/GPRS900

UMTS2100GSM/GPRS1900GSM/GPRS1800GSM/GPRS900GSM/GPRS850

20052H 20041H 20042003

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QUALCOMM CDMA Technologies KOREA

• MMC• SD-Card

• PureVoice VR™- SD & SI Voice - Digit Dialing- Universal Front End

• PureVoice Recorder™

- Voice Memo - Answering Machine

• PureVoice Audio AGC™ • SIM/UIM Card interface• CMOS/CCD Mega Pixel

camera interface • Color LCD Interface

• gpsOne™ AGPS technology• Hybrid AGPS/network

solution• Mobile-Assisted Mode• Mobile-Based Mode• Stand Alone Mode• 3GPP/3GPP2 compatible• Control Plane support• User Plane support• Digital compass interface

• USB• USB Host (On The Go)• Bluetooth• PureVoice Mail™• IP Protocol stack• WAP browser • MMS client • SecureMSM™

- DRM Agent- Secure Boot- SSL Encryption

• BREW™ integrationsupport

• JAVA J2ME

- H/W acc’l• 802.11b

• Qsynth™- 128-sound General MIDI Synthesizer

• MIDI player- 16 polyphony

• CMX™ Compact Media Extensions• C-MIDI Audio, Graphics, Text,

Animation- Very Large synthesizer - 32 polyphony wavetable- 72 polyphony wavetable- SMAF Audio support

• Qtunes™ Audio decoders- MP3, MPEG4-AAC, aacPlus

• Mobile Video Solutions- MPEG-4 Qtv™ decoder- MPEG-4 Qcamcorder™encoder

- MPEG-4 Qvideophone™- H.264 Decode- RealPlayer- Windows Media Player

• Still Image decoders PNG, JPEG, GIF

• Q3Dimension 3D game engine- Graphics acceleration for games

StorageUIPositioningConnectivityMultimedia

• The Leading Feature Set for Wireless Product Development– Consistent use across all QCT product lines– Enables broad product segmentation & differentiation– Adopted by global carriers

• The Leading Feature Set for Wireless Product Development– Consistent use across all QCT product lines– Enables broad product segmentation & differentiation– Adopted by global carriers

LAUNCHPAD™A design suite that enables our customers to leverage CDMA technology for creation of new enhanced products and services

QUALCOMM CDMA Technologies KOREA

ARM 9 - 150MHz

15 fps QCIF

1-2 MPixel

50k Triangles

MP3/AAC

30 fps VGA30 fps CIFSub - QCIFVIDEORecord & Playback

ARM 9 - 225 MHz

2-4 MPixel

100k Triangles

MP3/AAC/AAC+

ARM 7 - 50MHz

NA

NA

<MP3/Ringtone

Dual CPU incl.ARM 11 - 400MHz -

1GHzuPROCESSOR

4-6 MPixelCAMERA

3M-4M Triangles

GRAPHICS

MP3/AAC/AAC+AUDIO

QUALCOMM’s Integrated Launchpad™ Multimedia Roadmap

‘03 -‘04‘03 -‘04 ‘04 -‘05‘04 -‘05 ‘05 -‘06‘05 -‘06

‘02 -‘03‘02 -‘03

Sampled in06/04

120+ Design Wins120+ Design Wins

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QUALCOMM CDMA Technologies KOREA

MSM6250 with RTR6250/RFR6250

• Features• Supports

– UMTS 2100– GSM/GPRS 850, 900, 1800,

and 1900– VCO integrated– GPS integrated

• Improved power consumption• Markets

– Europe, China, Korea, UMTS/GSM support for USA

– Low cost with highest level of integration

QUALCOMM CDMA Technologies KOREA

Thank YouFor more information please visit our site

www.umtschips.com

QCT Korea UMTS MarketingAlex Shin (alexshin@qualcomm.com)