Qualcomm Promises 5G Modem Chip for 2018

By Don Clark 

Qualcomm Inc. announced plans to deliver its first chip for the next generation of cellular networks, angling to be ready as some carriers roll out versions of 5G services by 2018.

The San Diego-based company said it expects the forthcoming Snapdragon X50 modem chip to be available in sample quantities in the second half of 2017 and to deliver download speeds of up to 5 gigabits per second. That is roughly 100 times faster than peak speeds claimed by most networks that use the fourth-generation technology called LTE, for long-term evolution.

Most telecom carriers don't plan to begin offering such services until 2020, and industry groups have yet to finalize a technical definition for 5G. But Verizon Communications Inc. has discussed launching a service based on the technology to compete with fixed-line internet services by 2017.

Carriers in South Korea also are expected to launch 5G-class service in time for the Winter Olympics, which open in February 2018.

Qualcomm, the biggest supplier of cellular modems to smartphone makers, has a history of introducing technology early. The company, which unveiled its 5G plans at an event Tuesday in Hong Kong, previously had announced plans for an LTE chip that operated at up to 1 gigabit per second. By comparison, many carriers today promote peak speeds around 50 megabits, with typical speeds averaging considerably lower.

The chip maker on Tuesday disclosed that Telstra Corp., the Australian carrier, plans to be first to launch a 1-gigabit service in coming months. Netgear Inc. plans to deliver the first Qualcomm-equipped device to use the network -- a mobile router that can deliver Wi-Fi service to nearby devices, while using the cellular technology to connect to the carrier's network, Qualcomm said.

Qualcomm's announcement came as smartphone sales in many countries have flattened. Industry executives hope that the higher speeds offered by 5G services will prompt new demand and new applications, particularly those that involve large video files.

The company will have plenty of company. Besides existing rivals, such as MediaTek Inc., Intel Corp. is planning a major push to deliver 5G chips after failing to gain much of a foothold in LTE-based handsets. One piece of good news for Intel's effort to crack the mobile market came from Apple Inc., which is using its modem chips in some models of the new iPhone 7.

Write to Don Clark at [e-mail]

(END) Dow Jones Newswires

October 18, 2016 13:19 ET (17:19 GMT)

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