Ericsson a Handset War Casualty

TheStreet.com isreporting that Sony Ericsson will drop it's CDMA line of phones. I'm glad I didn't wait for a Sprint PCS version of the T68i, it looks like it would never have come. According to the story:

Waving the white flag amid a heated handset battle, Sony Ericsson says it is closing its struggling CDMA business in the U.S. The move Tuesday highlights Ericsson's continuing woes and comes on the same day that the wireless gearmaker said it would outsource the remainder of its computer services to IBM.

This report offers some hope for those who have grown addicted to the Sony Ericsson phones. It says that they will continue to manufacture the GSM phones. According to the story:

Sony Ericsson says shutting down code division multiple access, or CDMA, operations will eliminate 500 jobs in Research Triangle Park, N.C., and in Munich. The company will continue to make its global systems for mobile or GSM phones.

Finally, however the report ends on a sad note:

Given Ericsson's growing distaste for money-losing efforts, some observers say they would not be surprised if the plug is also pulled on the remaining handset venture.

The phones that Sony Ericsson creates are pretty innovative. I hope they don't have to shut down completely.