`Cell Phones of the 90s
`By Sam Martin
`
`QUALCOM
`
`Cell phones suffer from a well-earned image problem. What in essence is a practical and relatively inexpensive
`way to free yourself from the phone grid has been tainted by countless brokers, lawyers and self-proclaimed
`Brahmins shouting into their handsets, while the rest of us shake our heads, plug our ears and wonder. Cell
`phones have long been an annoying joke to those of us who could actually manage to take a drive or a walk
`without closing a deal at the same time. The trouble is that 15 years of cellular market expansion is rapidly
`making a minority out of we purists.
`
`Cell Phones in 1999
`Today, nearly 70 million people in the United States carry a cell phone–one third of all the adults in the nation!
`And if we can keep ourselves from trumpeting into them in a crowded diner, there are some very practical
`reasons why having a portable phone makes sense. Car emergencies, extended road trips, fishing weekends and
`dozens of other occasions that keep us away from home might be made easier by a pocket-sized way to stay in
`touch. And given the choice between a $10,000 outlay for a half-mile extension of line to a remote residence
`(followed by an eternity of monthly bills) or a $150 cellular phone and an unchanging monthly bill, mobile
`phones suddenly start to look a whole lot more reasonable.
`
`But how does one phone model differ from another? Which Monthly billing plans offer the most bang for the
`buck? And how can you be sure that your phone will work in Jordan, Montana?
`
` Qualcomm's CDMA pdQ smartphone combines durability with the latest digital technology.
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`Smart Mobile Technologies LLC, Exhibit 2017
`Page 2017 - 1
`IPR2022-00807, Apple Inc. et al. v. Smart Mobile Technologies LLC
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`Cellular technology has come a long way since June 1983, when the first analog wireless phones hit the market.
`Back then the average monthly bill was around $95 a mouth, the phones themselves were the size of small ham
`radios and about as heavy, and frequency signals were inconsistent and fuzzy thanks to an incomplete network
`of radio towers around the country. But the market being the market, it was only a matter of time before
`enough towers were built in and around every mid-sized community in the nation and the technology grew
`smarter and became more efficient.
`
`The industry now boasts annual revenues of almost $30 billion and an average monthly rate of just under $40.
`Along with this boom has come expanded coverage, making wireless services more readily available to those of
`us outside of urban areas. But the quality of that cell service can vary a lot, depending on where you live.
`
`Analog vs. Digital
`Obviously, the most important factor you need to consider when buying a cell phone is reception. Unfortunately
`most cell phone companies have targeted major urban centers and their surrounding areas for the lion’s share
`of cellular subscriptions, making it harder to get excellent reception if you’re too far off the normally traveled
`routes between cities. In the remotest area, you may be completely out of luck unless you go for the Iridium
`phone, a satellite handset that, very expensively, allows phone calls from literally anywhere on the planet (for
`more information, see Iridium Satellite Phones). Even so, knowing the difference between analog and digital
`services is important, especially if you plan on using a phone away from the city.
`
`The biggest difference between analog phones and digital phones is clarity of reception and strength of
`frequency. Years of saturating the country with transmission towers has given analog phones a typically longer
`range than digital phones, but they also have more static and faint hissing noises in the background. Digital
`phones, on the other hand, generally give a clearer message but with a shorter range.
`
`Living in the sticks makes digital phones a liability at the moment, particularly if they’re purchased for
`emergency purposes. Our research found that when you start getting too far off the beaten track the digital
`connection begins to clip on and off before losing the signal all together. This is especially true if you’re in low-
`lying or hilly areas. Get to a high point and things clear up considerably. Or wait a bit, as this is all expected to
`change in several years, when the digital network should catch up with the volume of phones already on the
`market (i.e., the industry will expand their fiber optics), making coverage much more thorough.
`
`For now there are dual mode phones that offer both analog and digital in one, allowing the caller to keep a
`signal once he or she leaves the invisible digital boundaries and “roams” into analog territory.
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`Smart Mobile Technologies LLC, Exhibit 2017
`Page 2017 - 2
`IPR2022-00807, Apple Inc. et al. v. Smart Mobile Technologies LLC
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`Interestingly, analog phones, once the only option for wireless service, are slowly being phased out as
`companies expand their digital coverage to incorporate more of the country. Some companies, like Prime Co.
`and Nextel, are all-digital and Sprint, AT&T and GTE are rapidly going in that direction, already offering digital-
`only packages that include a phone/rate plan combination. However, these packages are noticeably more
`expensive than an analog only or a dual mode package (AT&T’s Digital One Rate starts at $89.99 per month).
`And if you don’t use up all of your minutes, they don’t get carried over to the next month. Nevertheless, digital
`phones offer options like e-mail and headline news that analog phones do not.
`
`So what kind of phone do you buy? At the moment, if you live in a rural area it’s best to get an analog phone
`because of the thorough coverage they afford. But with the industry headed toward an all-digital network, if
`you’re buying for the long-term, you’re better off spending the extra money for a dual band. You’ll find your
`most compact and expensive options among the digital phones. But before you lay down any money, find out
`what kind of coverage you can get in your area and go from there.
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`Late 1990s Cell Phones Models
`There are more than a dozen cell phone manufacturers out there, but your shopping choices are going to be
`made far easier by first determining what kind of calling plan best suits your needs. Oftentimes the plan will
`dictate which phone you buy. For instance, if you like the rates that Nextel is offering, you’ll be limited to a
`Motorola-made phone because Motorola is the only brand Nextel carries. Bringing in a phone made by
`Samsung and asking to get set up with a Nextel plan will do you no good. Besides, the price of the phone is
`usually tied into the start-up price of the plan, so it’s cheaper to buy both at once.
`
`Each phone, too, has its own style and menu options. The newer digital phones are smaller and lighter than
`their analog counterparts. There are phones with or without antennas. Some have different rings or buzzes to
`choose from.
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`Some, like the Nokia 6160, even offer built-in video games. That said, the best way to choose a phone is to go
`out and play with a few at the sales office until you find the one that’s right for you.
`
`While you’re there you might want to pay attention to a few details like battery type, length of battery life, size,
`weight and general comfort of the phone while you’re using it. Also, keep in mind that the reception you get is
`dependent on the phone’s ability to hold onto a call when it receives one. For analog phones make sure you get
`a powerful receiver capable of fielding plenty of radio frequencies.
`
`If you’re looking at digital or dual mode phones be sure to find out which platform the phone operates on,
`whether it be TDMA (Time Division Multiple Access), CDMA (Code Division Multiple Access) or GSM (Global
`Standard for Mobile Communication), a standard used mostly in Europe that is being slowly introduced in the
`United States. CDMA is the most advanced in digital technology and allows cell phone companies like Prime Co.
`and Sprint PCS to handle far more calls on their digital networks, while giving clearer quality signals in the
`phones.
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`Smart Mobile Technologies LLC, Exhibit 2017
`Page 2017 - 3
`IPR2022-00807, Apple Inc. et al. v. Smart Mobile Technologies LLC
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`As for the battery, the preferred type for a cell phone is the lithium, which reserves power when you turn the
`phone off. Other types continuously lose juice even when you’re not using them. We found that the digital
`phones conserved energy better than the analog or dual mode phones. Charging frequency with the digital
`phones was about every three days, while the analog or dual mode phones needed a little more attention —
`say, once every two days. If you find that charging a phone is an inconvenience or if you know you’ll be away
`from an outlet for long periods of time, you might want to consider buying a cigarette lighter adapter for your
`car or even a backup battery and a charging “cradle.” Still, not all phones offer these options, so be careful. With
`the Qualcomm models, for instance, you can only charge the battery when it’s attached to the phone.
`
`Though nearly all of these phones are quite small, the larger models can become a surprising nuisance to carry
`around. A few ounces will make a big difference. Phones like AT&T’s Nokia 6100 series, the best all-around
`phones we tested and the most popular wireless phones on the market, were a pleasure to carry because of
`their smooth and slim design. The 6160’s keypad features easy scroll keys that took us straight to our
`programmed list of telephone numbers, while the easy to read display continuously shows battery and
`reception strength as well as time of day. On top of that, the signals were always sharp, even when using long-
`distance.
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`In contrast, Nextel’s Motorola i1000, while small and compact, has confusing options for its menu, requiring a
`multitude of button pressing to get the necessary information. One big mark in the Motorola’s favor, however,
`is its ability to double as a speakerphone — a far safer option for car or truck use. But the biggest selling point
`for the i1000 is the “Direct Connect” feature, a useful short-range walkie-talkie option that lets you talk to
`anyone in your area code as long as they have an i1000 and you have the right code. The reception is clear and
`it’s cheaper and quicker than roaming for an actual phone call when you’re in rural areas … perfect for outdoor
`workers.
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`The Sanyo SPC-3000 dual mode phone sold by Sprint is a solid phone with good reception in both the digital
`and analog areas. It’s a little bulkier than either the Motorola or the Nokia, but it’s easier to use than the
`Motorola. The Sanyo’s only drawbacks seem to be its scroll keys — which are located at the bottom of the
`keypad, making them awkward to access — and its short battery life.
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`Two other mainstream phones you might want to take a look at are the Qualcomm and Erickson models. Having
`joined forces in May, the conglomerate is offering the best of cellular technology: Qualcomm’s advanced CDMA
`digital quality combined with Erickson’s sleek, Swedish handset designs.
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`Wireless Service Plans
`For the purpose of this article we looked at the country’s five largest cellular service providers offering the
`broadest amount of coverage. Sprint, AT&T and Nextel provide thorough nationwide coverage. GTE markets
`mostly in Texas and the South as well as in some Western and Northwestern states, while Prime Co. operates
`mainly in the Midwest.
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`Smart Mobile Technologies LLC, Exhibit 2017
`Page 2017 - 4
`IPR2022-00807, Apple Inc. et al. v. Smart Mobile Technologies LLC
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`One of the first things we learned and you should know is that there’s a lot of fine print when it comes to the
`monthly plans. As a general rule, when you sign up for a rate plan from any of these companies you are signing
`on for a specific number of minutes. These can range from 30 to 1,600 minutes per month, depending on your
`calling needs.
`
`Long-distance options run the gamut from nonexistent to downright economical: With companies like AT&T
`offering wireless customers a 10 cents a minute domestic-long-distance rate, cell phone calling can be as cheap,
`if not cheaper than, land-line services. Be ever-vigilant, however, in watching for extra expenses. Some
`companies charge as much as 40 cents a minute for time in excess of your plan, including time racked up when
`people call you.
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`These companies didn’t grow to be industrial giants by accident. They know, as do the majority of the 70 million
`U.S. cell phone owners, that once picked up, the little buggers are virtually impossible to put down. Highly
`nonessential chitchat proliferates … and bills skyrocket.
`
`Our informal survey of 50 cell phone users proved to us that even occasional talkers find it tough to limit their
`calls to less than two hours a month. Though tempted at first by those low $29.99-per-120-minute monthly
`fees, excess talking time will very, very quickly produce a bill of $100 or more.
`
`Then there are roaming charges. These costs go into effect once you leave your “home” area and can increase
`the bloodletting at a clip of up to 60 cents a minute. Oftentimes this can be avoided by choosing as your home
`area the place from which you make the most calls. If you’re commuting and find that you’re using the phone
`mainly at and around work, then you might want to consider choosing your work area as home base. But keep
`in mind that this will turn calls from where you sleep into roaming calls.
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`Still, price wars among the giants are forcing prices slowly downward. GTE, for one, has begun statewide
`services offering flat rates with no roaming charges. Nextel claims to have gone around roaming charges by
`introducing their “Direct Connect” option into their Motorola phones. The only problem there is that everyone
`you want to “direct connect” with has to have a Motorola phone. Even Sprint PCS and AT&T Digital One Rate
`offer plans with no extra charge for roaming, but again, be wary of the fine print. If you stray from the Sprint
`network, for example, and make a long-distance call outside the network boundaries, you’re still charged a
`roaming fee.
`
`Given all the different types of phones and plans out there, with a bit of legwork you should be able to find a
`service that will cater to your individual telephone needs.
`
`A good option that most companies are selling is “off peak” minute packages for weekends and evenings. If you
`make a lot of “off peak” calls, these can be very attractive bundles that don’t use up the minutes on your base
`plan. Sprint, for example, offers 600 “off peak” minutes for $6.99 a month, defining that time as 8 P.M. to 7 A.M.
`Mondays through Thursdays and 7 P.M. Fridays to 7 A.M. Saturdays. Likewise, AT&T sells 500-minute weekend
`packages for $9.99.
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`Smart Mobile Technologies LLC, Exhibit 2017
`Page 2017 - 5
`IPR2022-00807, Apple Inc. et al. v. Smart Mobile Technologies LLC
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`Other, pricier options include things like voice mail or e-mail. These can quickly add up, so be realistic when
`factoring them into your budget. One of Prime Co.’s all-digital rate plans, for example, advertises at a very
`reasonable base rate of $24.99 per month for 100 minutes. But add to this a “Pre-Pay Service Fee” of $4.99 a
`month, an extra 320 a minute for retrieving voice mail, plus another $9.95 a month for the company’s “Text
`Messaging” e-mail option and suddenly that original $24.99 has shot up closer to $40. By contrast, Sprint offers
`a base plan of 120 minutes for $29.99 that includes voice mail and has no monthly maintenance fee.
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`The Fine Print of Cell Phone Plans
`Ask questions up front so you know what you’re really getting. Here are some specific tips:
`
`Find out if there are start-up fees or monthly service charges that can swell the bill.
`Note that most companies require one-year contracts, charging you a fee if you don’t fulfill that contract.
`Find out what options you have to pay for and compare the price with those plans that include things like
`voice mail and text messaging.
`Get a list of accessories that can or cannot be added to the phone you want.
`Find out if a long-distance option is included in the plan.
`Ask how much you are charged if you go over the monthly minutes on your plan.
`Find out what your “roaming” charges will be.
`Ask whether you can purchase unlimited or large amounts of “off peak” minutes for evenings and/or
`weekends and at what cost.
`Remember, you use up minutes when you receive calls as well as when you make them.
`
`One more thing to keep in mind is that most service providers bind you to a contract that says you will use their
`service for a certain amount of time and that you will use one of the phones they carry. The AT&T Digital One
`Rate, for instance, has a contract stipulation that says subscribers must sign on for a term of one year, use a
`digital multi-network phone from AT&T (a Nokia) and subscribe to AT&T Wireless Services long-distance. If you
`don’t feel comfortable partaking of all of these options, you’ll have to look for another service provider. GTE, on
`the other hand, offers the GTE Riskless Wireless service, which allows you to change the plan or the required
`GTE phone if you are not happy with either. But watch out: the fine print says “within 30 days of purchase.” The
`bottom line is you still have to sign a one-year contract with GTE. They just give you 30 days to renege on it.
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`Smart Mobile Technologies LLC, Exhibit 2017
`Page 2017 - 6
`IPR2022-00807, Apple Inc. et al. v. Smart Mobile Technologies LLC
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`Cellular Life
`After carrying around a number of phones for three months, we found that the cellular life could be remarkably
`convenient at times and more than mildly irritating at others. That we could contact or be contacted by others
`regardless of whether we were outside working or in town buying groceries was at the same time comforting
`and exasperating. Not only are there moments when you don’t want to talk to anyone, but the creeping
`insinuation of the thing into our lives caused some staffers a good deal of discomfort. Learning to flick off the
`power switch quickly became as tricky an enterprise as using it.
`
`Then there’s the cost to think about. If you’re paying for both land line and cell phone services the bill can be a
`burden, and unless you really need a cell phone, it will be the first to go. Then again, with long-distance, voice
`mail and regular calls included in some of these flat rate cellular plans, substituting a wireless handset for a
`land-line phone might be a reasonable option, depending on your phoning habits. Basically, if your work
`demands that you be on the phone even just some of the time, then wireless phones can be an invaluable tool,
`especially if yours is a job that keeps you mainly out of doors.
`
`Though it was a photo finish, the majority of the cell phone users we spoke to considered it an advantage to use
`one. Careful shopping will make budget maintenance a far easier occupation, but nothing will save you from the
`nagging realization that the world is rapidly evolving into a place where corners of refuge are getting smaller.
`Lord help us.
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`Smart Mobile Technologies LLC, Exhibit 2017
`Page 2017 - 7
`IPR2022-00807, Apple Inc. et al. v. Smart Mobile Technologies LLC
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