Qualcomm Incorporated (QCOM) 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 Incorporated (QCOM)

QCOM 163.32

+2.3%

Nov 21 9:30 AM EST

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: Dave who wrote (17787)	11/5/1998 1:09:00 AM
From: Anthony	Read Replies (1) of 152472

Dave: I just want to comment that not only prices of components are coming down due to more players but the level of integration in term of number of chips being used to build the phone is also will go down. Given Qcom track record such as the fifth generation MSM on schedule I am not surprise that they are already working on integrating more chipsets into one hence reducing the cost further. True ASPs is declining but cost cutting will also move down faster. I think the gross margin going forward will be up and not down like everyone is predicting. Remember their first two years of manufacturing phones had been quite a painful learning curve and I think this quarter is the marking point of a new beginning. Proof was that gross profit margin all the sudden higher than everyone is expected while asic chips sale margin is declining (common sense given all the fuss in Korea, I think Qcom had no choice but to please their customer by lower their asics price). So you see the number in this quarter is critical to show that Qcom can play in the big league(means they can mass produce phone while making profit with declining ASPs).

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next