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Technology Stocks : Qualcomm Incorporated (QCOM)
QCOM 174.01-0.3%Nov 14 9:30 AM EST
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To: qdog who wrote (8822)2/24/1998 8:28:00 AM
From: Greg B.  Read Replies (3) of 152472
 
Just reading WSJ this morning and saw this interesting tidbit (excerpts only, starting on pg A3):

"Network snags imperil sales of Motorola"

Motorola Inc. is struggling to correct defects in its cellular network equipment and software that are crippling its expansion into new wireless systems and have already led one major customer to cancel its order.

Executives close to company said PrimeCo Personal communications L.P. the wireless-phone serve owned by Bell Atlantic Corp, US West Inc, and AirTouch communciations has cancelled its $500 million contract and will replace almost all its Motorola gear with equipment and software from rival supplier LU. PrimeCo's decision could be announced as early as next week, the executives said.

.....

Ordering a manufacturer to pull out systems is a rare occurrence in the phone industry, where most suppliers are scrutinized and their equipment rigorously tested before the system is cleared to be "cut over" to handle regular traffic.

.....

The Motorola gear uses a new digital software scheme called CDMA to transmit and route calls in digital code. The CDMA transmission is considered state of the art and one to which number carriers have been moving. But executives said PrimeCo had suffered more than 100 Network failures in the last year before moving to pull the plug on Motorola.

....
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