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Affordable wireless broadband 3 Table of Contents data connectivity is important to the consumer and enterprise, and its demand will continue to drive the evolution of wireless standards. Wireless Technologies The significant growth in the use of wireless devices worldwide and demand for enhanced network functionality requires constant innovation to further improve network reliability, expand capacity and introduce new types of services.
To meet these requirements, progressive generations of wireless telecommunications technology standards have evolved. The adoption of wireless standards for mobile communications within individual countries is generally determined by the telecommunication service providers operating in those countries and, in some instances, local government regulations. In addition, there are several versions of CDMA technology that have been adopted worldwide as public cellular standards. The first version, known as cdmaOne, is a 2G cellular technology that was first commercially deployed in the mids.
Second Generation. Compared to first generation analog systems, 2G digital technology provided for significantly enhanced efficiency within a fixed spectrum resulting in greatly increased voice capacity. However, data services e-mail, fax, computer connections were generally limited to low speed transmission rates.
Wireless operators have shut down, or are planning to shut down, usage of these 2G systems. Similarly, analog systems have been shut down in most places. Third Generation. As a result of demand for wireless networks that simultaneously carry both high speed data and voice traffic, the International Telecommunications Union ITU , a standards setting organization, adopted the 3G standard known as IMT, which encompasses six terrestrial operating radio interfaces, three of them based on our CDMA intellectual property.
Some of the advantages of 3G CDMA technology over both analog and TDMA- and GSM-based technologies include increased network capacity, network flexibility, compatibility with internet protocols, higher capacity for data and faster access to data Internet and higher data throughput rates. GSM has the benefit of more widespread roaming availability due to its wider worldwide deployment.
Enhancements based upon improved implementations have and will continue to be deployed in our products to increase capacity and data rates. A number of GSM operators deployed second and a half generation 2. This is called UMTS Our intellectual property rights include a valuable patent portfolio essential to implementation of each of the 3G CDMA alternative standards and patents that are useful for commercially successful product implementations.
Generally, we have licensed substantially all of our patents to our CDMA subscriber and infrastructure equipment licensees. While the fundamental core technologies are derived from CDMA and, in addition to other features and functionality, are covered by our patents, they each require unique infrastructure products, network design and management. However, subscriber roaming amongst systems using different air interfaces is made possible through multimode wireless devices. The various revisions of the 3G CDMA specifications have significantly increased performance capacity and data speeds.
It is expected that future revisions of the 3G CDMA specifications will provide further enhancements. Many wireless operators are planning to deploy technology based on OFDMA to complement their existing 3G networks to provide additional bandwidth for data communications when they have access to new and wider spectrum resources.
We have been actively 5 Table of Contents pursuing research and development of OFDMA-based wireless communication technologies and have over 3, United States and 18, foreign pending patent applications and granted patents related to these technologies.
We believe that each of these standards incorporates our patented technologies. We have nine companies with royalty-bearing licenses under our patent portfolio for use in single-mode OFDMA products i. Our Engineering Resources. Using these engineering resources, we expect to continue to develop new versions of CDMA, OFDMA and other technologies, develop alternative technologies for certain specialized applications including multicast , participate in the formulation of new wireless telecommunications standards and technologies and assist in deploying wireless voice and data communications networks around the world.
We continue to invest heavily in research and development in a variety of ways in an effort to extend the market for our products and services. We also continue to develop on our own, and with our partners, innovations that are integrated into our product portfolio to further expand the market and enhance the value of our products and services. These innovations are expected to enable our customers to improve the performance or value of their existing services, offer these services more affordably and introduce revenue-generating broadband data services ahead of their competition.
Our patented technologies, resulting from our strong investment in fundamental system research and development, have been and are expected to continue to play a significant role in the future standards of 3GPP and 3GPP2. We continue to invest to provide our integrated circuit customers with chipsets that combine multiple technologies into Single Chip SC products, incorporating advanced modems, processors and graphics engines, as well as the tools to connect these diverse pieces of technology.
Early-stage mirasol displays have been incorporated in a limited number of consumer devices. IMOD display technologies may be included in the full range of consumer-targeted mobile products and are expected to provide performance, power consumption and cost benefits as compared to current display technologies. In June , we commenced operations of a dedicated mirasol display fabrication plant in Taiwan. We intend to continue our active support of CDMA-based technologies, products and network operations to grow our royalty revenues and integrated circuit and software revenues.
From time to time, we may also make acquisitions to meet certain technology needs, to obtain development resources or to pursue new business opportunities. To the extent that such investments become liquid and meet our strategic objectives, we intend to make regular periodic sales of our interests in these investments that are recognized in investment income.
QCT is a leading developer and supplier of CDMA-based integrated circuits and system software for wireless voice and data communications, multimedia functions and global positioning system products. These products provide customers with advanced wireless technology, enhanced component integration and interoperability and reduced time-to-market.
QCT utilizes a fabless production business model, which means that we do not own or operate foundries for the production of silicon wafers from which our integrated circuits are made. Integrated circuits are die cut from silicon wafers that have completed the assembly and final test manufacturing processes. Die cut from silicon wafers are the essential components of all of our integrated circuits and a significant portion of the total integrated circuit cost.
We rely on independent third-party suppliers to perform the manufacturing and assembly, and most of the testing, of our integrated circuits. Our suppliers are also responsible for the procurement of most of the raw materials used in the production of our integrated circuits. The majority of our integrated circuits are purchased using a two-stage manufacturing business model, in which we purchase die from semiconductor manufacturing foundries and contract with separate third-party manufacturers for back-end assembly and test services.
We also employ a turnkey model in which our foundry suppliers are responsible for delivering fully assembled and tested integrated circuits. Our fabless model provides us the flexibility to select suppliers that offer advanced process technologies to manufacture, assemble and test our integrated circuits at a competitive price. Chartered Semiconductor Manufacturing Ltd.
Advanced Semiconductor Engineering Inc. Our gpsOne position location technology is in more than million gpsOne enabled devices sold worldwide. Our integrated circuit products span all market tiers, from entry-level solutions for emerging markets up to the very high-end device tier. The Snapdragon platform of chipset products is designed to enable computing-centric devices that also offer a full range of wireless connectivity capabilities.
Multimode Gobi modules are designed to deliver embedded mobile wireless connectivity to notebook and netbook computers. Supporting numerous air interfaces, Gobi modules also feature GPS capabilities to allow notebook manufacturers to more easily offer greater connectivity with their products. The market in which our QCT segment operates is intensely competitive.
QCT competes worldwide with a number of United States and international designers and manufacturers of semiconductors. As a result of global expansion by foreign and domestic competitors, technological changes and the potential for further industry consolidation, we anticipate the market to remain very competitive. We believe that the principal competitive factors for our products may include performance, level of integration, quality, compliance with industry standards, price, time-to-market, system cost, design and engineering capabilities, new product innovation and customer support.
QCT also faces competition from some early-stage companies. Our competitors may devote significantly greater amounts of their financial, technical and other resources to market competitive telecommunications systems or to develop and adopt competitive digital cellular technologies, and those efforts may materially and adversely affect QCT.
Moreover, competitors may offer more attractive product pricing or financing terms than we do as a means of gaining access to the wireless telecommunications market or customers. QTL receives license fees as well as ongoing royalties based on worldwide sales by licensees of products incorporating or using our intellectual property.
License fees are fixed amounts paid in one or more installments. Ongoing royalties are generally based upon a percentage of the wholesale selling price of licensed products, net of certain permissible 8 Table of Contents deductions e. Revenues generated from royalties are subject to quarterly and annual fluctuations.
As part of our strategy to expand the marketplace and generate new and ongoing licensing revenues, significant resources are allocated to develop leading-edge technology for the telecommunications industry. In addition to licensing manufacturers of subscriber and network equipment, we have made our essential CDMA patents available to competitors of our QCT segment.
These agreements permit the manufacture of CDMA-based integrated circuits. We face competition in the development of intellectual property for future generations of digital wireless communications technology and services. A limited number of wireless operators have commercially deployed and other wireless operators have started testing OFDMA technology, a multi-carrier transmission technique not based on CDMA technology, which divides the available spectrum into many carriers, with each carrier being modulated at a low data rate relative to the combined rate for all carriers.
We have invested in both the acquisition and the development of OFDMA technology and intellectual property. We expect that upon the deployment of OFDMA-based networks, the products implementing such technologies will be multimode and will also implement CDMA-based technologies. Further, nine companies have royalty-bearing licenses under our patent portfolio for use in single-mode OFDMA products i. When created using EXEC mode, the parent test session is not persistent.
A parent test session must include either a CM-List or an interface or both. The CM-List consists of a list of modem mac-addresses. The system supports a maximum of mac-addresses in the CM-List. Mac-addresses setup in the parent CM-List are not validated. A parent test session may also include an interface. When both a CM-List and an interface are setup in a parent test session, the list of modems that will participate in the test will be the logical AND of the CM-List with the modems on the interface.
Multiple parent test sessions can be setup simultaneously. The cBR-8 will manage all parent test sessions appropriately based on their configured start and stop times. Parent test sessions are assigned Ids in the 1 — range. Subsequent overlapping parent test sessions will start on time, but will not include a child test session for an OFDMA channel that is already active in another parent test session.
Exec CLI commands are provided to manage parent test sessions. When commands like stop and delete are used on the parent test session, all related child test sessions will also be stopped and deleted. When Exec CLIs are used to create a parent test session, the admin is allowed to choose the parent test session Id, which must be in the range When the cBR-8 restores persistent OUDP test sessions, it will create parent test sessions using the next available parent test session Id, starting from 1.
Duplicate parent test session Ids are not allowed.
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