Qualcomm Moderated Thread - please read rules before posting Message Board

STOCKTALK

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 Moderated Thread - please read rules before posting

QCOM 159.42

-1.2%

Jan 16 9:30 AM EST

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: Maurice Winn who wrote (59673)	2/2/2007 5:39:35 PM
From: Q8tfreebe	Read Replies (1) of 197254

"QCOM should now be at $1 trillion market cap. But no, the handset division was hopeless and ditched [Paul was running it]. Infrastructure couldn't hack it. Eudora could have been Google. Many opportunities gone." Maurice - with all due respect, handsets were rapidly becoming a commodity and in any case, the handset division created a conflict of interest vis a vis QCOM's more profitable chip division (i.e. handset vendors did no want to buy chips from a competitor...QCT). So the decision to get out of the handset business was a very good move. The infrastructure business was even more brutal due to the need to also provide vendor finance, which subjects vendors to not just the risk that their gear will work, but also FX risk, market risk, political risk, regulatory risk, etc.. All in an environment where margins were rapidly decreasing to the high single digits. Too much risk for too little margin. Its an ugly business. I say the best thing QCOM ever did was get out of the infrastructure and handset business and focus on thier core compitencies of Chips and royalties.

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next