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Technology Stocks : Qualcomm Incorporated (QCOM)
QCOM 164.94+1.0%1:34 PM EST

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To: Caxton Rhodes who wrote (3368)8/9/1997 9:01:00 PM
From: JGoren   of 152472
 
Guatel and New Phone Roll-Out Date! More on batteries.

Caxton, QCOM still benefits from the Nortel contract. Nortel is licensee of QCOM. Nortel helped QCOM set up its infrasturcture production lines, also. I would assume that QCOM will be supplying Nortel. Nortel has an established reputation of supplying infrastructure, as do other QCOM competitors. Purchasers are simply going to be reluctant to choose QCOM in the face of established capabilities of its competitors. That is going to be the hardest piece of the business for QCOM to break into and is the thing keeping the QCOM employees awake at night.

QCOM web site now touts the Personal Communications show in Dallas Sept. 10-12. I predict this is the rollout for the new phones. If I were management, I would ship the handsets before then (as it has been said the company will do), allow time for Sprint, PrimeCo et al. to educate the sales force, but not allow them to get to the shelves until September 10 when the show starts. They roll out on the shelves and to the trade simultaneously for maximum impact.

More on the New Phones' features & Batteries--

This is from the QCOM press release of March 3, 1997, regarding the new QCP phones (not Q):

"The sleek new CDMA digital phones weigh in at less than 7.5 ounces, and offer a host of new features. All new Qualcomm QCP models come equipped with a unique dial shuttle, allowing users to quickly and easily operate the phone with a single touch. A new user interface provides simple, rapid access to a host of phone features. The new series of phones offers an ergonomically designed earpiece-providing users optimal comfort and exceptional sound reception, even during extended conversations. The phones also include intelligent internal charging controls and three cosmetic battery options, a slim NiMH battery, a standard NiCad battery and an extended Lithium Ion battery providing up to five hours of talk time."

Comments & Questions--How much does the present M phone weigh? What, pray tell, is a NiMH battery? What would be the life of that battery? What does the company mean by "cosmetic" battery options? I don't understand the use of the word "cosmetic." If the battery is inside, how does the word costmetic apply? QCOM seems to be much more honest regarding the battery life. What differences in prices would there be? Except for a substantial difference in price, why would anyone not want the litium ion battery, especially when that battery is in the current handset?
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