June 04, 2004, 9:24 AM — Texas Instruments Inc. (TI) and STMicroelectronics NV are producing samples of chips that will allow manufacturers to build 3G (third generation) cell phones based on CDMA (Code Division Multiple Access) technology, the companies announced Wednesday.
The new chips are based on the EV-DV (Evolution-Data-Voice) standard that accelerates the bandwidth of CDMA cellular networks, said Joe Thome, business director for CDMA chipset products. The chips will allow cell phone users to download applications or access data at speeds between 470K bps (bits per second) and 1.7M bps under real-world conditions, he said.
Currently, there are no EV-DV networks in place. TI and STMicroelectronics are building the chips for phones that will be used with a pilot program planned by South Korean wireless provider LG Telecom later this year, Thome said.
TI manufactured the TBB5160 digital baseband chip that serves as the chipset's modem as well as two transmit and receiver chips. STMicroelectronics built the power management chip. The entire package is designed specifically for cell phones, and it will work alongside applications processors such as TI's OMAP, STMicroelectronics' Nomadik or Intel Corp.'s XScale processors, Thome said.
There are fewer CDMA networks worldwide compared networks based on the leading standard, GSM/GPRS (Global System for Mobile Communications/General Packet Radio Service), but CDMA networks are strong in the U.S. and dominant in South Korea.
UMTS/WCDMA (Universal Mobile Telecommunications System/Wideband CDMA) networks are the 3G standard of choice for the GSM/GPRS carriers, and are starting to roll out across Europe and the U.S. after years of delays. TI also manufactures UMTS/WCDMA chipsets, which allow peak data transfer speeds of about 2M bps under ideal conditions.
South Korean wireless providers have already launched CDMA2000 1x EV-DO (Evolution-Data-Only) networks as an improvement to existing CDMA2000 1x 3G service, but as the name implies those networks can only transmit data packets, not voice signals, said Will Strauss, principal analyst with Forward Concepts Co. in Tempe, Arizona.
The EV-DV standard is expected to eventually replace the EV-DO standard, because wireless carriers aren't excited about having to set up separate voice and data channels on their networks, Strauss said.
Every channel taken away from voice communications removes a steady source of revenue that data communications might eventually replace, but the market for wireless data communications is still in its infancy, Strauss said. Its difficult to predict how much revenue the carriers will see from data services, so it's tempting to wait for EV-DV, he said.