http://www.ndtvprofit.com/homepage/storybusinessnew.asp?template=&whichstory=n&id=31859 CDMA technology is fast losing favour with telecom companies and handset makers who are switching to GSM, as it is less expensive to operate. When Reliance communications shows signs of abandoning its CDMA backbone it is a clear that the technology is running into serious trouble. And on Thursday, Qualcom, the world's biggest CDMA chip maker, gave Indian CDMA players one more reason to switch to GSM. Qualcom said it would continue to charge seven per cent royalty from India operators, while it charges only two per cent in China, and zero royalty in USA. CDMA market to shrink Operators say this high royalty on CDMA sets makes the technology more expensive to operate and even handset makers seem to agree. Nokia for instance, says it believes the CDMA market is going to shrink in the long term. It has ended talks to form a joint venture with Sanyo Electric Company to produce CDMA enabled handsets. Nokia has said that it would gradually pull out entirely of CDMA phone manufacturing. Industry experts believe that it is the cost differential between CDMA and rival GSM technology that is actually changing things in favour of GSM. In the Indian context, a lot depends on the talks between Qualcom Chief Paul Jacobs who visits India next week and bosses of Indian telecom companies.