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Technology Stocks : The New Qualcomm - a S&P500 company

QCOM 175.25

+0.6%

Dec 19 9:30 AM EST

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To: Ramsey Su who wrote ()	5/14/2000 11:45:00 AM
From: Ruffian	Read Replies (1) of 13582

Very Nice Article on QCOM & Dr.J by: horselist_horseman 5/14/00 9:27 am Msg: 187104 of 187114 usnews.com The ex-professor's high wireless act Despite a sell-off, Qualcomm keeps its grip Excerpt from above: <<Victory in Europe. The toughest resistance to CDMA has come from the twin mobile powerhouses of northern Europe, Finland's Nokia and Sweden's Ericsson, both of which have pushed a system called Global System for Mobile Communications. By selling its CDMA network gear subsidiary to Ericsson last year, Qualcomm poked holes in the solid wall of European opposition. As a result, it won agreement in international-standards bodies that the next generation of wireless communications will be based on CDMA. That was progress. But now two rival "modes" of CDMA are emerging. Some equipment and handset makers are pushing a variation that will require them to make lower royalty payments to Qualcomm. While it's impossible for outsiders to forecast just which way these fights will be resolved, there's little doubt they will be. "The next generation is marching on," says Ben Linder, vice president of marketing at Phone.com in Redwood City, Calif. "It'll happen one way or another." The beauty of it all from Qualcomm's point of view is that no matter which precise technology takes hold, the company will get a piece of the action in the form of royalties. The more it can steer the industry toward its own patents, the greater its profits. The company already licenses its technology to at least 75 companies and has more than 1,200 patents.>>

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