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Technology Stocks : Qualcomm Incorporated (QCOM) -- Ignore unavailable to you. Want to Upgrade?

To: Ruffian who wrote (33110)	6/24/1999 5:01:00 PM
From: JGoren	Read Replies (1) \| Respond to of 152472

Why would the stock go through the roof if handset division sold; most of the earnings are from handsets? Only if that opens chip supplies to major handset manufacturers could there be positive effect.

To: Ruffian who wrote (33110)	6/24/1999 5:26:00 PM
From: marginmike	Read Replies (1) \| Respond to of 152472

Thats bull shit. I can see him saying that would happen 6 moths from now. However NOKIA is still having its problems, and Q is building as maney phones as they can make???? Is that why he downgraded in January too? It seems to me that H&Q is trying to assist shorts in exiting. They always seem to downgrade during momentous upturns. Its very strange. Why would he raise his estimates? Why wouldnt he wait until day after earnings? This slaps of CABI's techniques!

To: Ruffian who wrote (33110)	6/24/1999 5:47:00 PM
From: llwk7051@aol.com	Read Replies (1) \| Respond to of 152472

Michael, you did a good job of recaping what Hambrecht & Quist has been saying. I don't understand downgrade. This is same rating given May 18th by them. This is an excerpt from May 18 report. "Hambrecht & Quist Company: QUALCOMM Inc. Price: 105 Recommendation: Market Perform Date: 5/18/99 Qualcomm Strong in the Short Term, Faces Difficulty in 2H99 The elimination of handset subsidize in the Korean market will impact QCOM's chipset sales but will be offset in the sort-term by accelerating handset demand in the US & Japan. QCOM faces problems in holding market share and ASP against the Motorola and Nokia in 2H99." The analyst does not think Qualcomm can compete against larger companies. I certainly hope he is wrong on his estimates. I believe there is enough growth for all three to do well. Note Qcom really took a dive the last 30 minutes of the day. Volume for day was light and not that huge even at the end. Good luck to all, Robert Decker

To: Ruffian who wrote (33110)	6/24/1999 5:56:00 PM
From: Art Bechhoefer	Respond to of 152472

Obviously the H&Q analyst does not recognize the huge potential income from royalties. But it also appears that he doesn't recognize that QCOM is shifting production from basic models to higher margin models with more features, such as the PDQ, Thin phone, etc. Thus, he is probably estimating total unit volume rather than potential profit per unit. He's just out and out wrong on all counts.

To: Ruffian who wrote (33110)	6/24/1999 5:59:00 PM
From: JohnG	Read Replies (3) \| Respond to of 152472

H&Q--I really distrust them in this matter. They have always been uniformly negative on QCOM. I believe I have seen positives on MOT from them despite MOT's screw ups. I just feel like their analyst has his own agenda here. One can say broadly that competing with your customers is often not a good thing. Personally, I don't think this rational applies here. I am sure MOT, ERICY, NOK and others would like to see Q drop dead. In my opinion the reason is that there is a very good chance that Q's efforts in ASICS and innovative phones will outdistance them in the next 1 to 2 years. Q will have very capable phones as will the Koreans leaving ERICY and NOK and MOT debugging those phones running on homemade ASICS. Q will have 3G CDMA 2000 up and running starting this year. The W-CDMA folks will see their operating customers like NTT DOCOMO getting creamed my upstart wireless co's using CDMA ONE and 2000. Take NTT DoCoMO--it's something like Q2, 2001 B4 they hope to get W-CDMA up and running. What we will have is a case where some large connected incumbent wireless operators stand to bleed big time. They know wireless customers are fickle and will switch for voice quality and lower cost. Political action is their only weapon here and I am sure they are sharpening their knives. No, Q shouldn't sell phone manufacturing. Instead, they should push toward CDMA 2000 at warp speed and help key wireless operators leave their competitors in the dust. Doing this may well result in forcing some wireless operators to adopt CDMA to remain in the game. Now is the time to press the advantage and not tolerate the competitor's slow movement toward W-CDMA. In hi Tech, fast cycle time is a deadly competative weapon. The first group w/ the new technology makes the big bucks and has a war chest to spend on the next generation of technology. I think we all know that CDMA 2000 is not the end of the evolution. John G