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Strategies & Market Trends : Gorilla and King Portfolio Candidates

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To: JohnG who wrote (21320)3/25/2000 1:19:00 PM
From: straight life  Read Replies (1) of 54805
 
QCOM

JohnG; I'm getting mucho buzzed too, in re: Q. Got this from Total Telecom... I think it could be big. (ps- enjoyed having dinner with you and your wife in SD... pps- you back in Q, Lindy... or do you still have your $125 buy order out there?)


Analysts warn of 3G network delays

RDSL
24 March 2000

Ericsson and Nokia, telecoms maker, have made large mistakes in forecasts for next generation mobile telephony, according to Forrester Research (U.S.), analysis firm, which believes that it could take seven years for 3G networks to become operational, vs the two years forecast by Ericsson and Nokia.

The delays in the networks will be due to high costs for operators to upgrade networks, long delays for the phones and uncertainty surrounding the change from old to new technology.

Forrester has interviewed 46 of the leading players within mobile communications and believes that 3G mobile telephony will take longer than forecast by Nokia and Ericsson.

Upgrading to 3G will mean that all base stations will have to be replaced and this will be very expensive. Forrester has calculated that the cost if building a 3G network for a U.K. operator, including the licence, will be over SKr50 billion. High costs, together with uncertainty about future income, are resulting in operators delaying investment.

Nokia, however, has said that it is already seeing interest for next generation networks and it expects the first 3G networks to be in place in Europe in 2002.
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