So anyway, let's try to decode (ho! ho! I kill myself!) this beautifully written press release and break it down into layspeak as much as possible:

* STMicroelectronics manufactures baseband decoders (chips) for XM's manufacturers. Ok great.
* These are known as System-on-Chip (SoC) products. They bring together all the functions needed to manufacture an XM Radio receiver. With me so far?
* Back in 2001, the baseband decoders were actually two chips in a 0.25-micron size. (1G)
* 2.5 Million of these chipsets were originally shipped, followed by 4 Million in a smaller 0.18-micron version. (2G)
* For over a year now, and 4 Million units later, ST has been shipping these devices in a single-chip, 0.13-micron version. (3G)

Now ST has said they're starting deliveries of their new "System-in Package" product (remember SoC? System-on-Chip? Well, this is System-in-Package. It's more gooder.). This new SiC shrinks down the functions of the XM receiver into highly integrated components of "a monolithic front-end IC and a multifunction system microcontroller." Smells like 4G to me.

In other words, this new System-In-Package chipset is smaller, cheaper, and packs more functions. If they're SHIPPING now, that means we can expect new - smaller - units sometime in the near future. By the end of this year? I doubt it (but who knows). I'd say by the 2006 CES show.

Thanks cb!