SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : Qualcomm Incorporated (QCOM)
QCOM 181.84+0.9%Jan 8 3:59 PM EST

 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: The Reaper who wrote (96313)3/29/2001 11:59:15 AM
From: Rajala  Read Replies (2) of 152472
 
>>The service charge for CDMA customers is less than
>>half that of the GSM (global system for mobile
>>communications) networks, which has more than 80
>>million users in the country.
>>
>>CDMA network charges of 0.20 yuan (0.2 US cents) per
>>minute compared with GSM charges of 0.40-0.60 yuan (0.5-
>>0.7 US cents) per minute.
>
>SWEET!

Yes, Kirby, this is sweet indeed.

The financial side of this dream deal is also admirably planned. The monthly interest cost of the 8.5 bn USD investment is only 106 MUSD, calculated with 15%.

And the money they are raking in, 0.2 cents a minute? This masses up tremendous 12 cents an hour. You´d only need 106 million paying subscribers talking no more than 8.3 hours a month, and hey presto, interest charge is already covered.

With these figures steep vendor financing should not be a problem at all. I hear Lucent just got 5 bn, I bet they can hardly wait to blow it all to a 2G project in China.

OK so that leaves a gap of 3.5 bn. I think they are going to have to wheel in the Globalstar´s operating profit.

- rajala
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext