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Technology Stocks : Qualcomm Moderated Thread - please read rules before posting
QCOM 154.12-3.3%3:59 PM EST
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To: slacker711 who wrote (21474)4/16/2002 8:15:42 PM
From: Art Bechhoefer  Read Replies (1) of 197297
 
>>There is a three page ad for mMode in the Chicago Tribune today.<< Also a 3-page ad in the NY Times shows the displays on the cell phone much larger than life, thereby misleading readers on screen size as well as content.

Once again, we have confirmation of the strategy of the GSM/TDMA people: Let the public know they can get data and send messages and they won't know or care about better performance from CDMA. None of the services they're advertising require WCDMA, so their additional capital cost to provide the services makes them somewhat competitive with 1X, even if they fall behind in performance. In fact, if the subscriber wants only stock quotes and fairly short messages, then the transmission speed is less important, and the fact that it is slower than CDMA doesn't make much difference to the user at that level.

The strategy is flawed for two reasons: The capital costs for upgrading eventually will be much larger than the costs for CDMA service providers. The public can eventually be educated to realize that the TDMA/GSM services, even those upgraded to GPRS, are still inferior to CDMA, and just as costly, if not more costly.

Art
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