BOSTON, MA STRATEGY ANALYTICS FORECASTS 469 MILLION CELLULAR HANDSET SALES IN 2002

By 2006, 77% of all handset sold will be replacements up from 52% in 2001. Despite GSMs overall dominance of the cellular market, CDMA will control a disproportionate share of the 3G markets. The CDMA share of global handset volume will reach 25% by 2006.

PRESS RELEASE

STRATEGY ANALYTICS FORECASTS 469 MILLION CELLULAR HANDSET SALES IN 2002
Shipments grow from 393M in 2001 to 870M by 2006

Boston, MA -- By 2006, 77% of all handset sold will be replacements up from 52% in 2001. Despite GSMs overall dominance of the cellular market, CDMA will control a disproportionate share of the 3G markets. The CDMA share of global handset volume will reach 25% by 2006.
Phil Kendall, a Director in the Global Wireless Practice at Strategy Analytics notes by 2006 retail sales will have increased to 870 million phones, at which point S. E. Asia will account for 40% of the total, more than double the size of any other region. W. Europe and N. America will see their share of handset sales fall significantly over the next five years from over 50% in 2001 to 36% in 2006."

David Kerr, Vice President of Strategy Analytics Global Wireless Practice notes Inventory build was a huge issue for the global market in 2000 and 2001 with some residual still left to work through in the first half of 2002. W. European handset volume was most dramatically impacted. Having fallen 13% in 2001, W. European handset sales will remain flat in 2002 before beginning to recover in 2003. GSM/W-CDMA based systems will continue to dominate the worldwide cellular market over the next five years. However, CDMAOne/CDMA2000 sales will gain share passing 200 million units in 2006."

These findings are presented in Worldwide Cellular Handset Forecast (2001-2006)", a study published recently by Strategy Analytics within its strategic advisory service, Wireless Device Strategies. This service provides leading players in the wireless industry with insights into key market, technology, and consumer behavior trends. The report provides forecasts for North America, W. Europe, S.E. Asia, Central and Latin America, Central and Eastern Europe and the Rest of the World.
Company Background:

Strategy Analytics, Inc. provides information and insights to help develop business strategies in broadband, consumer electronics and media, wireless communications, ebusiness, automotive electronics, energy technologies and enabling technology business. Working on a global basis, Strategy Analytics delivers planning support in published and consulting formats to meet the decision support needs of clients in North America, Europe, Japan and the Far East.

UK Contact: Phil Kendall, +44 (0) 1582 589 813, pkendall@strategyanalytics.com

US Contact: David Kerr, +1 262 646 8974, dkerr@strategyanalytics.com

Website: http://www.strategyanalytics.com