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Technology Stocks : Nokia (NOK)
NOK 6.080+0.4%Nov 26 3:59 PM EST
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To: gdichaz who wrote (4942)5/21/2000 12:31:00 PM
From: tero kuittinen  Read Replies (5) of 34857
 
There is only one way I see manufacturers can make money from high-speed internet phones. They introduce the models at 600-800 dollars and hook a couple of million early adapters when the margins are above 40%. Then they jack up the production volume to 10-20 million, slash the price below 500 bucks and mop up the middle class.

I honestly can't see how this could ever be achieved with HDR phones. You need 30-50 operators to make the volume strategy work. You need to sign up these operators simultaneously. Qualcomm announced HDR months ago and the clock is ticking. There isn't even one GSM manufacturer or operator on board.

I'm only trying to protect you from disappointment, Chaz. Don't go on this fantasy trip - you'll wake up screaming.

Slacker - a slot for W-CDMA is already built in as a GPRS upgrade in new Nokia base stations. So ultimately, operators are expected to complement GPRS with W-CDMA. Outside large cities, that just may take years longer than many expect.

Tero
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