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Technology Stocks : Qualcomm Incorporated (QCOM)
QCOM 138.87+1.1%Feb 9 3:59 PM EST

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To: Gregg Powers who wrote (18325)11/15/1998 12:36:00 AM
From: lkj  Read Replies (1) of 152472
 
Hi Greg,

I just came back from HK and China. I saw a few very fancy cellular phones made by Motorola and Nokia. Even though they were GSM phones, but their looks were very appealing to my eyes, and good looks definitely help selling. I think that Qualcomm is still behind its GSM competitors in making pretty phones. Especially for Asian markets, phones are not just tools for communication, they are status symbols.

In an early post of yours, you talked about how a couple of ounces in handset weight difference is no big deal. Don't forget the huge female market. Size may not matter much to you; it is definitely crucial to be successful in this segment. In the Sept-Oct issue of Harvard Business Review, there is an article on doing business in China, where Ericsson was used as an example. Ericsson cracked Motorola's monopoly of the Chinese handset market by making slim and colorful handsets targeting the female segment. In about two years, Ericsson has been able to capture 40% of the Chinese handset market.

Qualcomm definitely has the best technology and engineers in the cellular phone business, but it is seriously lacking artists.

Regards,

Khan Liu
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