New Technology Fuels Wireless Product Sales; Next Spur: Portability?; System upgrades in '04 may lift capital gear 5%; handset price cuts pinch.(INDUSTRY SNAPSHOT)(WIRELESS EQUIPMENT)

Byline: MIKE ANGELL

U.S. wireless companies don't like the fact customers will soon be able to take their phone numbers with them when they switch carriers. But to makers of wireless equipment, wireless number portability may be a boon.

The logic goes that cellular networks will want to upgrade their networks to keep customers happy. That, along with continued growth in developing countries and new data services, has many forecasting better times for wireless gear.

Lehman Bros. believes that, thanks to carrier upgrades, U.S. capital spending on such equipment could increase 5% next year to $17.3 billion.

"Number portability is mostly behind our upgrade of the sector," said Lehman Bros. wireless …