If I could I would like to add to your analysis with a couple of points. But first I would like to make a correction, the QCP-2700 will not go to digital at 800MHZ, only analog.
Everyone here seems to think that QCOM sets the price on it's phones in the stores. I am sorry to say that they don't. As I am sure we all know, Sprint or whatever company buys the phones wholesale from QCOM, sets the retail price. Knowing that we have ABSOLUTELY no idea what QCOM is charging for their phones. We can speculate, but that is exactly what it is, speculation. For all we know QCOM could be charging Sprint $10 for each Q and Sprint has a horrendous markup (I realize that is an exaggeration, I'm making a point). Conversely QCOM may be charging Sprint $1000 per phone and Sprint is giving it's consumer a good deal. The problem with price speculation is that we just don't know.
Thank you for bringing the build out issue to the forefront, that is something that many people never thought about I am sure. Also thank you for bringing the issue that the CC said the ASIC sales would be flat instead of flat on their face like some have speculated. It is always nice to hear from someone with the inside poop.
One thing that I would like people to think about is the following ethical and business exercise:
In the earnings release and in the conference call the leaders of QCOM were doing some heavy hinting (as told by earlier posts) about doubts about the short term Korea situation. They said that long term Korea was keen but said nothing about the short term. Is it possible that they were trying to tell people that they suspected the Korean order would fall through? I think that is possible. Would it have been better for everyone if they came out and said so? No. I think that they would have been doing just as much a disservice in putting out half baked, unsubstantiated rumor. They waited until they knew for sure, then they told everyone at the same time the facts that they had in hand. Putting it another way, if they would have said that the Hansol order and the ASIC sales were going in the toilet and ti didn't happen, people would be just as pissed. It is better to measure twice and cut once, right? |
