T Thornley on CNBC
(Missed part, got to be fast on CNBC)
Q Do you see a bit of an upturn?
TT I would say yes, but very specifically in the CDMA segment of the market where the operators who have deployed CDMA technology are in a very strong completive situation and I think are winning market share.
Q Is the 3G starting to stimulate demand even though some think that generation is going to be delayed a little bit?
TT Yes, absolutely, we are seeing an increasing demand for our 1X chips, which are third generation. In fact, we increased our forecast for this quarter from 7 million to 8 million chip shipments, so yes, we definitely see third generation as being the catalyst.
Q One area of concern that has dogged your stock in recent weeks based on a report from Howard Schiit, a frequent guest of CNBC, brought up the point of doing a lot of barter transactions and whether or not barter is an increasing portion of your business that may appear to boost revenues but those are not cash transactions, Could you clarify and help our viewers understand those concerns?
TT Yes definitely( with a big smile during the question), in fact we have instituted a program late in 2000 that offered new start up companies a license in exchange for equity. But that was a very limited program. In fact in the full year 2001, we had a total value of $20M type of transaction of which only $7M was actually recorded as revenue compared with the total revenue of $2.7 B so really a very small and appropriate method of accounting for that transaction.
Q Mr Thornley, very quickly before we let you go( since we have an attention span of seconds on CNBC), where are you seeing the areas of strength internationally and growth for your company.
TT Yes, definitely seeing very good performance in Korea, where they are furthest along in implementing 3G and that is followed by the North American markets where 3G markets are just being launched.
Q Mr T, Thank you. |
