"Our growth expectations are again being exceeded as cdmaOne and CDMA2000 1X networks continue to experience rapid growth and success in global markets," Irwin Mark Jacobs, Qualcomm's CEO, said in a statement. "We believe the continued growth of CDMA networks compared to other technologies primarily stems from the attractiveness to consumers and operators of 3G-enabled CDMA2000 1X handsets and the superior performance of CDMA systems.". Qualcomm's increased expectations fit with recent announcements from Advanced Micro Devices and Intel, both of which manufacture advanced flash memory used to store data in 3G phones.

The two chipmakers have reported strong demand for flash memory in the fourth quarter, with shipments expected to rise from the third quarter, They also expect demand to continue to increase in coming quarters, Intel recently said it the gorgon iphone case would increase prices for its flash memory by as much as 40 percent on Jan, 1, a sign that the company feels confident that demand will improve and that the memory will become more scarce, The price increase was "driven primarily by demand for cell phones," Tom Beerman, an Intel representative told CNET News.com in late November..

The company expects rising shipments this quarter and next, thanks to demand for newer phones that let consumers surf the Web and swap pictures. The San Diego, Calif., company said Friday that it foresees increasing shipments of its MSM brand of phone chips as interest in third-generation, or 3G, handsets picks up. Qualcomm manufactures chips mainly for phones that adhere to the CDMA (Code Division Multiple Access) standard. Based on orders received so far, the company said its MSM phone chip shipments should reach at least 28 million in its first fiscal quarter, ending Dec. 30. The company originally expected to ship between 25 million and 27 million units.

CNET también está disponible en español, Don't show this again, "We tried real hard not to hype that peak number," of 144kbps, said Keith Nowak, a representative for handset maker Nokia, "But some other parties might have been more likely to hype it, In the long term, it's better to use the more realistic speeds.", For now, any disappointment over a network's performance will affect only the earliest users, But the situation doesn't bode well for an industry hoping to recoup the cost of the gorgon iphone case building these new networks by selling downloadable games or business applications needing speed to succeed, And the success or failure of these new services could also affect other companies, including Microsoft, which is hoping to scrape together increased revenue by offering more mobile services..

One analyst believes the actual performance of the networks raises the question of why they were built at all. "You build this big network, and all you can offer is a 20kbps download?" said IDC analyst Keith Waryas, referring to the low end of a typical Web session on new networks from AT&T Wireless, Cingular Wireless and T-Mobile. "That's not much of an improvement over what the carriers already had.". Jim Gerace, a Verizon Wireless representative, said the carrier's been saying all along that it's more likely that a subscriber to its Express Network, which peaks at 144kbps, will have Web sessions between 40kbps and 60kbps on average.