Qualcomm Ceo Speaks About Handset Division Buyer, WSJ>
September 22, 1999
Qualcomm CEO Sketches Ideal Buyer For
Handset Unit
By NICOLE HARRIS
NEW ORLEANS -- Qualcomm Inc. (QCOM) Chairman and Chief
Executive Irwin M. Jacobs Wednesday outlined characteristics of a buyer
for the company's handset division.
Qualcomm, San Diego, recently announced it would sell off the handset
business and said it is talking to several parties interested in buying the unit.
Qualcomm's handset division has faced strong competition from some
other cell phone manufacturers, resulting in lower margins.
"The financial pressure was too great," Jacobs told Dow Jones Newswires
in an interview at the PCS '99 wireless industry conference here.
He wouldn't disclose potential buyers, saying it was too early to tell. But he
did outline characteristics of his ideal partner in a spinoff. He said he's
looking for a "good strategic relationship" with a strong manufacturer that
has a worldwide presence. The company should be able to support
Qualcomm customers and help maintain jobs.
"Price, of course, is important," he added.
Jacobs insisted, however, that the rest of Qualcomm - its core chip set,
licensing and other businesses - would remain an independent company.
"Within the realm of reasonable possibilities we'll continue to be an
independent company for some time," Jacobs said.
-By Nicole Harris; 212-416-2224
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