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Technology Stocks : The New Qualcomm - a S&P500 company
QCOM 174.94+0.2%12:26 PM EST
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To: Cooters who wrote (7436)3/11/2000 8:35:00 AM
From: gdichaz  Read Replies (2) of 13582
 
Cooters: The need for a way for the Q to produce a CDMA/GSM combination chipset is clear. That is the next hurdle for the Q on which it is already working but as best I can tell does not have a chipset ready to go yet.

Perhaps this is how the Q and Nokia could "trade".

The model for this is the Q and Ericsson "agreement" last year around this time.

That agreement gave the Q what it needed, tied Ericsson to buying the Q's chips in the future and unloaded the infrastructure operation on Ericsson. The royalty agreement was like the old "rabbit stew" which was a combination of one horse and one rabbit - the Q's royalties are the horse and Ericsson's the rabbit. But notice that Q management was careful to permit Ericsson "face" saving in that period. No crowing about "victory" or any of that. Ericsson issued the press releases, the Q was satisfied on the substance.

Perhaps something similar is possible now re a CDMA/GSM chipset agreement with Nokia.

But I am still skeptical that the way to go for the Q is with Nokia. But given the skills the Q's management has shown to date in handling difficult and tricky situations with a smoothness worth admiration, perhaps a good way to do that is practical. Or another route to obtain GSM skills and access.

And assume the Q is actively working on finding the best way to do just that.

Best.

Chaz
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