Qualcomm cans UMB, focuses on LTE

Qualcomm Inc, seeking to cut costs in the face of slowing demand for cell phones, has stopped developing a next-generation wireless technology called Ultra Mobile Broadband.

The wireless chip maker will put its resources into a rival high-speed technology called Long Term Evolution, which some of its major customers, such as Verizon Wireless, have backed, said Qualcomm Chief Executive Paul Jacobs.

Jacobs told an annual analysts' meeting on Thursday that there are no plans to undertake "a large layoff across the company" as he expects a modest market recovery in cell phone chip demand the second half of 2009.