Available WirelessJan K LeznyDirector of Business DevelopmentQUALCOMM Internet Services

CDMA Worldwide Handsets Forecast

0

50

100

150

200

250

300

350

400

2000 2001 2002 2003 2004

EMC Micrologic Cahners

Millions of Handsets

Source: EMC 02/01, Micrologic Wireless 2001, Cahners 07/00

23%

5%

35%36%

Asia

Latin America

US / Canada

Rest of World

China

Worldwide CDMA Handsets - Calendar 2001

92 Million - Micrologic Research90 Million - QUALCOMM86 Million - EMC, by Region

Source: EMC Cellular Terminal Forecasts

1%

US and CanadaOver 30 Million New Handsets

Key Drivers for Wireless Market

cdma2000 1xcdma2000 1xMore Capacity, High Speed Data

Capacity/Quality

Roaming

Mobility

AMPS

TDMAGSMPDC

cdmaOneIS-95A

cdmaOne IS-95B

cdmaOne IS-95B

Medium Speed Data

Time

Multi-ModeMulti-Mode

Global Roaming

1G 2G 3G2.5G

Multi-BandMulti-Band

Multi-NetworkMulti-NetworkGPRSGPRS

cdma2000 1xEVcdma2000 1xEV

WCDMAWCDMA

Nearly Doubles Voice, 307k, RF backward compatible

Data only 2.4 Mbps RF backward compatible

Voice, 14.4k Voice, 64k

Voice, 9.6k Data only 10-60k

Global Evolution to 3G CDMA

Voice, 128k/384k

Voice, 9.6k

100k

Voice, 64k/384k

GSM

CDMA

CDMA2000 1xIS-95A

GPRS

EDGE

PDC

WCDMA(Europe)

CDMA2000 1xEV

20031995 1999 2000 2001 2002 2004

IS-95B

WCDMA(Japan)

SamsungSCH-X100

All 1x handsets are backwards compatible with cdmaOne networks!

First Commercial cdma2000 1x Handsets Available Now

SK TeletechIM-2300

Approximate transfer times for a 3-minute MP3 song

GSM 9.6 kbps 41 minutesIS-95A CDMA 14.4 kbps 31 minutes

GPRS 45 kbps 9 minutesIS-95B CDMA 64 kbps 6 minutes

cdma2000 1x 307 kbps* 1.5 minutes - 1.25 MHz

WCDMA 384 kbps 61 seconds - 5 MHz

cdma2000 1xEV 2.4 Mbps 11 seconds - 1.25 MHz

How Fast is Wireless?

* Peak data rate for first commercial release of 1x terminals will be 153.8 kbps

Air Interface Data Rate Download Time

Regional Update: North America

• CDMA carriers are market leaders:

- Verizon, Sprint PCS, Bell Mobility, etc.

• Current CDMA carriers optimally positioned

to migrate to cdma2000 1x with minimal

capex costs

• U.S. wireless MOU outpace others at avg. 220

min. per month

7.6

1.9

19.8

33.6

0

5

10

15

20

25

30

35

40

1997 1998 1999 2000

Population - 311 Million

CDMA Subscribers - No. America

Wireless Penetration

- 39% in the U.S.,

- 28% in Canada

Regional Update: North America

• The majority of North American CDMA operators have publicly announced their short-term plans to deliver 3G capabilities to the market place:

• 2H’00–Clearnet Communications announces its contract with Lucent to deploy 1x in late 2001

–Telus Mobility announces its contract with Nortel to deploy 1x technology–Alltell announces its contract with Motorola to deploy 1x in late 2001

• 1Q’01–Sprint PCS announces its contract with Motorola to deploy 1x in the second half of 2001

–Bell Mobility announces its $100 million investment to deploy 1x in late 2001–Verizon Wireless announces its plan to commercially launch 1x late 2001 and 1x EV shortly thereafter

Population - 311 Million

EntertainmentDownloadable & streaming musicInternet radioStreaming videoInfo. servicese-Books

Avatars Personalized agents

Games Off- and on-line Multiple-player 3D motion, video, music

Online James Sutton

Wilbert Smith

Sally Rogers

Franchesca

Buddy List

Mobile Text CommunicationsEnhanced emailEnhanced instant messaging

Done

Mary, I was thinking we could purchase content at a lower price if we sent Sam to the store with...

10PM 8/1/00 Sara W

Position Location ServicesNavigation assistanceFriend finderEmergency services

Mobile ChatGroup conferencing/voice chatVideo conferencing

A Wide Variety of Applications. . .

...that Consumers Want

Source: Answers Research Inc.

0

10

20

30

40

50

60

70US So. Korea Japan

Navigation Assistance

Instant Messenger

Friend Finder

Music Player

Electronic Wallet

Advanced E-Mail

BREW Market Potential

Interest Level -% of Respondents

05

10152025

Bill

ion

2001E 2002E 2003E 2004E 2005E

Worldwide CDMA Wireless Data Subscriber Revenue Market

Latin America Asia Pacific USA/Canada

$145M$3B

$8B

$14B

$21B

A Large Emerging Market to Attract Developers

Est. ARPU: Asian Pacific - $16.60, North America - $13.00, Latin America - $5.43

Source; Morgan Stanley Dean Witter, International Data Corp and Dataquest

US wireless data market = $15B by 2005

Source: Morgan Stanley Dean Witter, Oct. 2000

for for WWirelessirelessSmall Memory Footprint Small Memory Footprint

Derived from Handset Code Derived from Handset Code Not a Stripped Down PC OS or VMNot a Stripped Down PC OS or VM

BBinaryinaryNative Code C or C++ Native Code C or C++

for the Highest Performance for the Highest Performance with Small Code Sizewith Small Code Size

RRun-time un-time EEnvironmentnvironment Downloadable Downloadable

Dynamically Linked Applets Dynamically Linked Applets with Cross Applet Communication with Cross Applet Communication

and Service Discoveryand Service Discovery

ASIC SoftwareWireless Internet Launchpad

TM Suite

UI Interface

BREW

Java

Ap

ple

t

Java VM

Bro

wse

r

Inst

ant

Mes

sen

ger

AV

AT

AR

S

Po

siti

on

Lo

cati

on

Vid

eo G

ames

E-m

ail

Gro

up

Ch

at

Mu

sic

Info

. Ser

vice

s

Java

Ap

ple

t

Java

Ap

ple

t

Java

Ap

ple

t

Platform Architecture

Third party developers

QUALCOMM

Enabling the 3rd Party Developer Community

• Standard development platform• End-to-end system• True BREW Certification• Secure and authenticated apps• Developer support program• QUALCOMM Venture Fund• Compensates carriers, developers and OEMs

Initial Global BREW Partners

Q U A L C O M M I N T E R N E T S E R V I C E S