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To: Morgan Drake who wrote (35537)	7/18/1999 1:25:00 AM
From: djane	Read Replies (2) \| Respond to of 152472

7/26/99 Forbes (not online yet). China goes Wireless (subtitle) The World's biggest consumer market is not all mirage. Look at what's going on in cell phones. by Andrew Tanzer [Note: This article points out the huge market opportunity for Qualcomm and Globalstar in China. In particular for G, check out the last paragraph. 15% cellular and 200 million penetration rate in year 2010. Just think if the Chinese govt subsidizes the cost of G* for more rural areas to bring them into the modern economy. djane] Excerpts (relevant to GSTRF and QCOM) The market for cell phones is exploding, and Western firms are participating fully. Almost overnight, China has become the second-largest market in the world after the U.S. for mobile phones and equipment. "There is an unquenchable thirst for wireless communications in China," marvels Jeffrey Belk, Qualcomm's vice president for marketing. As recently as 1994 there were only 1.6 million cellular subscribers in China. Now demand races ahead at a rate of more than 1 million new subscribers a month. By the end of next year China should have in excess of 50 million cellular subscribers according to Dataquest's Raymond Ho. (The U.S. currently has 75 million). Why the wireless boom? A number of reasons. For one thing, the Chinese government has invested aggressively in the infrastructure. "Their basic philosophy is that telecommunications is central to economic modernization," explains Andrew Page, head of corporate planning for Nokia (China). Anderson Consulting's John Wang calculates that China's spending on telecom infrastructure has compounded at 62% annually over the past decade, to $19 billion last year. In recent year the country has been adding a staggering 16 million to 20 million new fixed lines annually, the equivalent of building a Baby Bell every year. Yet at the end of 1998 still less than 7% of Chinese had phone numbers of their own, a fraction of the 50%-plus teledensity in Hong Kong, Singapore and other developed economies. Even with the added wire, it can take months to be connected to state-owned China Telecom's wireline network. Businessmen, in particular, can't wait. "They think they will excel in their profession and get more things done [with a portable phone]," explains Roger Kung, a senior vice president of Motorola. Over the past years competition has focused on the European developed GSM technology (China is already the world's largest market for GSM equipment). But the Chinese government has awarded China Unicom a license to build a wireless network based on the U.S.-developed CDMA (code division multiple access) standard. CDMA proponents, such as Qualcomm's Belk, argue that the technology's more efficient use of spectrum makes it ideal for China's densely populated urban areas. China's Ministry of Information Industry projects that by the year 2010 there will be 200 million cell phone subscribers in the country. Sound impressive? That would still represent a penetration rate of only 15% Says Perry LaForge, executive director of Costa Mesa, Calif.-based CDMA Development Group: "China dwarfs everybody with their potential for growth."

To: Morgan Drake who wrote (35537)	7/18/1999 3:06:00 AM
From: djane	Respond to of 152472

thestreet.com TA guru likes GSTRF as possible breakout thestreet.com COMMENTARY >> TSC TECHNICAL FORUM No Chit-Chat Today; Just Charts By Gary B. Smith Special to TheStreet.com 7/18/99 12:35 AM ET GSTRF Ready for Orbit I'm new to TA but am always interested in your take on various stocks (especially the ones I own or plan to own). GlobalStar (GSTRF:Nasdaq) looks poised to go higher after a tough time awhile back when its 12 satellites blew up with the launch vehicle. Saturday, it got four more birds up. MACD [moving average convergence/divergence] looks great and trend line looks about to be broken to the upside. Volume ... perhaps another story. I'm thinking the next Qualcomm (QCOM:Nasdaq)! What do you think? -- Jackie Pagni [Have to be member to see chart/comments. Shows weekly chart since mid-1997 with G in breakout mode on increasing volume. Gary's comments: "Jackie, you nailed this one! GSTRF is looking strong on this weekly chart. If it can take out its '98 high, it's off to the races!"] Gary B. Smith is a freelance writer who trades for his own account from his Maryland home using technical analysis. At time of publication, he held no positions in any securities mentioned in this column, although holdings can change at any time. Under no circumstances does the information in this column represent a recommendation to buy or sell stocks. Smith writes five technical analysis columns for TheStreet.com each week, including Technician's Take, Charted Territory and TSC Technical Forum. While he cannot provide investment advice or recommendations, he welcomes your feedback at gbsmith@ibm.net. Send feedback to letters@thestreet.com.