Qualcomm Incorporated (QCOM) Message Board

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Technology Stocks : Qualcomm Incorporated (QCOM)

QCOM 145.80

-4.5%

12:56 PM EST

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To: Ibexx who wrote (75304)	7/2/2000 9:34:31 PM
From: ehopper	Read Replies (2) of 152472

I think it does. The debate you jumped into was that right now Nokia, Ericsson etc do not have to pay royalties for GSM. (Whether other manufacturers have to pay a higher royalty for GSM was not being discussed). We would all love to see the #1 cellphone manufactuer jump on the QCOM bandwagon however cost is an issue. The article you posted simply clarified that Nok and Eric are not involved in paying this 15% royalty for GSM so saying that CDMA is cheaper than GSM for a company like Nokia or Ericcson due to royalties (CDMa = 5%, GSM = 15%) is not valid. Obviously NOK and ERIC etc cannot get CDMA for free, the trick is to find a cost point so that NOK, ERIC, MOT and Samsung (no more subsidies) for that matter can ramp up volumes, they all make money and Qualcom makes lots of $$$ This was the nature of the debate. Regards ed.

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