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

To: JohnG who wrote (35898)	7/19/1999 8:21:00 PM
From: Lance Bredvold	Read Replies (1) \| Respond to of 152472

Indeed, capacity constrained. Having worked through the shortages of the early 70's when Nixon imposed price controls, those kinds of problems are clear to me. And the extra expense involved. Your mention of a new plant in Mexico is also interesting because I am quite sure that I heard about a plant there at least a year and a half ago. I pictured it further North than Guadalajara and didn't think it had much capacity compared to the plant in San Diego, but it was there and producing (I think). It was before talk of producing phones in Brasil even. Is this a new announcement you've heard, or the same factory as I'm remembering. Also I know there have been several allusions to subbing out phone manufacturing to other plants in this thread over the past few weeks, but I've never seen a authoritative statement to that effect. From what I've heard of the capacity in San Diego, it seems like 1.7 mm over the quarter would be well within its capabilities (we know that Sony was not branding a full half of the production. Nor am I very sure of how their phones fit in our numbers. A year or so ago QCOM changed its accounting treatment of the JV. I think they stopped recognizing all of the income and then allotting a portion to the minority owner. Also capital expenditures and other investment was to be directly taken from QPE rather than being seen in owners expenses.). Anyway, thanks for your observations also. I needed that.