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To: Uncle Frank who wrote (2645)6/15/1999 7:27:00 PM
From: mauser96  Read Replies (1) | Respond to of 54805
 
Uncle Frank... QCOM probably already has some economies of scale on the itellectual level because of their R&D but will be able to do it on the manufacturing level only if they sell lots of phones. The comment of mine you quoted was confusing. When you place a call on a wireless phone, it is the standards that allow Sprint to translate your call at the other end into the standard of the receiving party. Without standards this wouldn't be possible. Once standards are set, everybody can use them. There are other kinds of standards- let's say you want to write software for a computer game. The game can do anything as long as it follows the de facto standard of interfacing with a popular operating system. This leaves lots of room to innovate. In cell phones, the interface is the whole point, so there is less room to innovate and differentiate. IMHO, QCOM is not in control of the standard. They willingly gave that up to participate in a broader market. Smart move. The only standard that can be controlled by one company is the rare example of a de facto one (Microsoft's Windows), where all the competition is much weaker.