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Technology Stocks : Qualcomm Incorporated (QCOM)
QCOM 174.06-2.8%3:53 PM EST

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To: Gregg Powers who wrote (8597)2/17/1998 12:49:00 PM
From: tero kuittinen  Read Replies (7) of 152472
 
Equalling W-CDMA with Ericsson is a big mistake. It's Nokia's standard as much as Ericsson's. Don't you see that when the Nordic companies slammed Qualcomm's CDMA they were protecting the GSM franchise, not condemning CDMA per se? They have been doing CDMA since *eighties*. I have been following Nokia's CDMA work with interest from the sidelines much before I ever heard of Qualcomm. It's preposterous beyond belief to claim that W-CDMA is any kind of response to Qualcomm, since it was being developed here in Finland before Qualcomm had any products in the marketplace.
Talking about Sony's Minidisc is interesting. The very point of W-CDMA is that it is the direct opposite of such a product. W-CDMA is now embraced by NTT-Docomo, sixteen other Asian operators, all major European operators, Ericsson, Nokia, Motorola, Siemens, Alcatel, Philips, Nortel, etc., etc. This is compared to Sony Minidisc? Please. What will you say when Samsung jumps on the bandwagon? Are you ready to predict now that it will not happen during 1998? Why don't we bet on it. If you lose, you will post in Frezza's Forum: "Nordic W-CDMA is the future of Telecommunications".
Regarding to China I am suggesting that the blizzard of recent GSM deals mean that GSM is the de facto countrywide standard of China in the near future. Narrowband CDMA will be a niche standard.
If Qualcomm's patents are as crucial to W-CDMA as Qualcomm execs now claim, how come nobody believes them? Wouldn't you expect the stock price to react to that in some fashion? Or is nobody really taking seriously the wild claims from Qualcomm's bosses anymore?
The prediction about only 5% of people needing data functions of their mobile phones is very surprising. The predictions based on consumer surveys show great interest in extended functions of mobile phones. You don't really think that the very companies that have shown the greatest ability to predict consumer behaviour would be investing hundreds of millions in developing multimedia phones without extensive market research?

Tero

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