High Tech Computer (HTC) reiterated that the latest injunction issued by the US Federal Court in California against certain Qualcomm products for the US market will not have a significant impact on its sales in the first quarter of 2008, according to a January 3 filing with the Taiwan Stock Exchange (TSE). In other news, Qualcomm has announced the availability of four new WCDMA chipsets, the MSM (Mobile Station Modem) 6271, 6281, 7201 and 7201A, to device manufacturing customers for production shipments into the US market, in order to help clients to minimize the impact of the latest court ruling, according to a Qualcomm press release.
Sources from the Taiwan handset industry also contended that the impact of the court injunction on HTC revenues for the first quarter will be limited since HTC will be allowed to continue shipping CDMA VE-DO handsets to Verizon Wireless and Sprint Nextel. Although HTC may be required to ship WCDMA handsets to AT&T based on the new chipsets from Qualcomm, HTC shipments to AT&T will account for less than 5% of its total shipments, and so the impact will be insignificant, the sources projected. However, HTC may see its first-quarter revenues decline 30-35% on year, at the worst, if it is not allowed to ship handsets to AT&T and Sprint Nextel in the first quarter, the Chinese-language Commercial Times quoted Kevin Chang, an analyst at JP Morgan, as indicating.
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